"You do not have permission to create this record in the global application. Please switch to a different application." notification when creating reports in Report Designer (new reporting UI)

When a user is granted Reporting permissions for an application (which also grants the delegated_developer role, if the user didn't have it before), then the cache is cleared and the user tries to create or run a report only when using Report Designer (new reporting UI), the following notification is displayed:

"You do not have permission to create this record in the global application. Please switch to a different application."

If you are just running a report, the contents will display correctly, but the notification will display over it until the notification is closed.

In Studio:

1. Create an application or select an existing one
2. In Studio, Click on File > Manage Developers
3. From the Developers tab search for "ITIL User"
4. Select the user and only select "Reporting" permission.
5. Save
6. Exit Studio and change the application scope to Global
7. Clear the application cache by cache.do
8. Impersonate ITIL User
9. Go to Reports > View / Run
10. Click on "Create a report"

Expected behavior: No notification should display.

Current behavior: The mentioned notification message is shown at the top of the frame.

There is no workaround for this issue but the user can still create and view reports in the global scope.