The customer has reported an issue in their STAGE and DEV environment, wherein if they have deleted any personalization block and have removed the reference from their transactional message template, on publishing the template, they received an error mentioning the personalization block doesn’t exist.
As confirmed by Adobe Engineering, this is not a System bug and we do need to remove the personalization block from the Delivery template xml.
This was raised as an Enhancement Request for a feature, where once a personalization block is removed from Delivery HTML, its reference should be removed from Delivery source XML as well. The Reference no. of the Enhancement Request is NEO-26625.