I do remember that, all too well. Countless hours spent with templates in Symfony, or dealing with Zend Framework and all that jazz...
But as far as I remember, the issue was debuggability and testing of the templates themselves, which was easily managed by moving functionality out of the templates (lots of people put lots of logic into templates...) and then putting that behavior under unit tests. Basically being better at enforcing proper MVC split was the way to solve that.
The DX wasn't horrible outside of that, even early 2010s which was when I was dealing with that for the first time.