I have less issue with smaller devs doing it, for reasons you mentioned. Sometimes their creative idea is best getting out there on any engine than it not getting out at all. We just need to stop normalising the use of Unreal Engine, before it is too late. Balatro is a good example we should be highlighting instead of something like Expedition 33 (which I am not saying shouldn't have released at all, we just shouldnt be praising it for it's use of UE, but rather for it's other features/standouts, like as you mentioned).

I have yet to see a well made Unreal Engine 5 game, but every studio is seemingly jumping to it. It's become like a buzzword almost (you never used to hear about the engine much, but now it's all "yeah our game is on Unreal Engine 5!!!"). But for some, me included, it's like putting a "rotten" sticker on a box of food. I just want to see more devs try other options, so we don't stagnate and allow Epic full control over the industry essentially. We used to get lots of custom built engines, but we have been slowly consolidating over the last decade, which I know at the root of it, is down to good ol' capitalism. It just sucks for games and by extension, the consumers, us.