SHA-1 is implemented in hardware in all modern CPUs and it is much faster than any alternatives (not all libraries use the hardware instructions, so many popular programs compute SHA-1 much more slowly than possible; OpenSSL is among the few that use the hardware).
When hashing hundreds of GB or many TB of data, the hash speed is important.
When there are no active attackers and even against certain kinds of active attacks, SHA-1 remains secure.
For example, if hashes of the files from a file system are stored separately, in a secure place inaccessible for attackers (or in the case of a file transfer the hashes are transferred separately, through a secure channel), an attacker cannot make a file modification that would not be detected by recomputing the hashes.
Even if SHA-1 remains secure against preimage attacks, it should normally be used only when there are no attackers, e.g. for detecting hardware errors a.k.a. bit rotting, or for detecting duplicate data in storage that could not be accessed by an attacker.
While BLAKE 3 (not BLAKE 2) can be much faster than SHA-1, all the extra speed is obtained by consuming proportionally more CPU resources (extra threads and SIMD). When the hashing is done in background, there is no gain by using BLAKE 3 instead of SHA-1, because the foreground tasks will be delayed by the time gained for hashing.
Only when a computer does only hashing, BLAKE 3 is the best choice, because the hash will be computed in a minimal time, by fully using all the CPU cores.