Problem/Motivation
Layout Builder currently allows instances of Block Plugins to be added to Sections, but does not allow creation of new content.
Today, if you wanted to add a Basic Custom Block, you would need to create it in a new tab, then place the derived Block Plugin in a Section. Once that Custom Block is placed, changes to its fields are not reflected in the parent entity's revision history or configuration. This leads to incompatibilities with modules like Content Moderation, as users expect everything they see when viewing a Draft to be tied to the latest revision.
Proposed resolution
We should improve this experience by allowing Custom Blocks to be created and placed inline. For an MVP, a new Block Plugin should be created that embeds Custom Block entity forms inside the normal configuration form. This will allow Custom Block field values to be tracked in that configuration, which will have the added benefit of Content Moderation support.
Remaining tasks
Write a patch.
User interface changes
The Layout Builder's interface will have an added "Create Content" section to creating Custom Blocks inline. The mockups already include this.
API changes
Undecided.
Data model changes
Undecided.