No problems updating here (UK MS Store version). Simply started the sim and immediately dropped back to MS Store to pick up a small update, then back to MSFS 2020 to install some 2.6GB. New World Updates (Germany, Switzerland, Austria) remain optional (uninstalled until I want to do so - I don’t).
Note: From the very first installation at launch of the sim, I have never fooled about with the files or their locations, and never done a reinstallation of anything. Maybe that’s why these patches and updates have never been a problem for me.