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It was indeed thermal.
If anyone ever comes along with the same issue, I will supply my theory and the fix.
The theory is that over the course of 2 years, the thermal paste has dried out.
The sudden impact of the drop then caused it to crack.
My supporting evidence for this theory is, upon removing the heat pipe, the thermal paste looking very sad and bitsy, with gaps and hard bits.
I replaced it with Arctic MX5.
It is now running normally, the fan is no longer trying to carry the steam deck away, and the frame rate is normal.
The take away is that if your deck is 2 years old and starts going slowly, the thermal paste might have had it.