Configure Chat - Generate Instructions

[sarittam]

Does this issue occur when all extensions are disabled?: Yes/No

• VS Code Version: 1.103.0-insider
• OS Version: windows 10

Summary: When generating or updating Copilot instructions via "Generate Instructions", VS Code always creates a new file instead of updating the existing one. Also, the generated file does not include the required header, so it is not recognized as part of the prompt.

Steps to Reproduce:

Click the gear icon (Configure Chat).

Select "Generate Instructions".

Expected:

Existing file should be updated if it already exists.

Generated file should always include the required header.

Actual:

A new file is created every time.

Header is missing, so file is ignored by the prompt system.