[BUG]

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

The permission mode switching functionality has stopped working. The mode indicator that
should appear at the bottom-left of the input area has completely disappeared, and
pressing Shift+Tab does not cycle through modes.

What Should Happen?

## Impact
Cannot use Plan Mode for safe code analysis or Auto-Accept Mode for faster workflows.

The permission mode switching functionality has stopped working. The mode indicator that
should appear at the bottom-left of the input area has completely disappeared, and
pressing Shift+Tab does not cycle through modes.

Error Messages/Logs

Steps to Reproduce

1. Open Claude Code in VSCode
2. Look at the bottom-left of the input area - no mode indicator visible
3. Press Shift+Tab to try switching modes
4. Nothing happens - cannot switch to Plan Mode or Auto-Accept Mode

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.0.1

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

## Expected Behavior

• Mode indicator should be visible (e.g., ⏸ plan mode on)
• Shift+Tab should cycle through: Normal → Plan Mode → Auto-Accept Mode

## Actual Behavior

• No mode indicator visible
• Shift+Tab does nothing
• Stuck in one mode with no way to switch

## Environment

• OS: Windows (win32)
• VSCode: [last version]

## Troubleshooting Attempted

• ✅ Restarted Claude Code CLI
• ✅ Restarted VSCode
• ❌ Issue persists

Claude Code: 2.0.1