Gaussian blurs are some of the most expensive operations you can run, and Apple has been using them for a long time. They’re almost always downscaled because of this.
The first retina iPad (the iPad 3 if I recall) had an awfully underpowered GPU relative to the number of pixels it had to push. Since then, the processors have consistently outpaced pixels.
Your device is easily wasting more time on redundant layout or some other inefficiency rather than Liquid Glass. Software does get slower and more bloated over time, often faster than the hardware itself, not in the ways you might expect.
The GPU has so much headroom that they fit language models in there!