NX Unable to Define Deformable Part - The Template Studio Authoring is missing the required license

When attempting to Define a Deformable part using NX2406 the operation is failing with the following message

This is a known problem which was inadvertently introduced when migrating the deformable part functionality to utilise the Template Studio interface in NX2406.  This error will occur if the license for User Defined Features (called usr_defined_features in license file) is not available to your session. 

The workaround is to change to a license bundle which includes the necessary User Defined Features license. If you do not have an alternative license or bundle available, then please contact PLM support who can advise on alternative solutions.

Problem Report PR 11107463 has been opened for this issue and the license requirements should be corrected in a future update to NX2406. The only license required for this function should be a NX assemblies license.