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with miui 12 update the lag and battery drain issues seem fixed. phone still never goes to deep sleep. but who cares if the battery life is ok.

I have the exact same problem. It happens after installing the system updates. Battery drain gets horrbile as well (5-8%/h in idle). "System launcher" App appears to consume a lot of power. In addition the phone doesnt lock after "x seconds of inactivity" but stays on all the time if not locked...