I experienced much the same (Xperia III on stock Android 11)
The uninstallation list contained just 1 item: microtube.
After I uninstalled that package, I got the same multiscreen list of packages to uninstall.
I remembered this thread, trusted that the list was spurious, and started the upgrade.
The upgrade seemed to work without any apparent glaring problems: the only thing that I have new problems with is that GPSInfo no longer shows any position info, never getting a fix. That behaviour is a regression for my phone.
This has been a (happily) stress-free upgrade.