Latest version unsets the administrator permission for JQuery Update

Should the default version for Seven admin theme be 1.4 (Drupal Core)?

Could we get any more steps to reproduce this? It also sounds like it may be two different issues.

Upgrading to 7.x-4.x from which version? Did the permission itself change (i.e. not the same string) between 7.x-2.x and 4.x perhaps?

Actually 7.x-2.7 didn't have a dedicated permission for jQuery Update, it just used 'administer site configuration':

/**
 * Implements hook_menu().
 */
function jquery_update_menu() {
  $items['admin/config/development/jquery_update'] = array(
    'title' => 'jQuery update',
    'description' => 'Configure settings related to the jQuery upgrade, the library path and compression.',
    'page callback' => 'drupal_get_form',
    'page arguments' => array('jquery_update_settings_form'),
    'access arguments' => array('administer site configuration'),
  );

https://git.drupalcode.org/project/jquery_update/-/blob/7.x-2.7/jquery_u...

The module's own permission was added in #2621436: Implement a permission for settings form →

Ah, you know, that may have been from me leap frogging a couple of versions.

What version of jQuery is recommended for Seven admin theme in Drupal 7? 1.4 (Drupal Core)?

I'm not sure about "recommended" version; perhaps it's reasonable to stay on core's default for the admin theme?

If there's a problem with a popular contrib module and the version(s) jQuery Update ships with, we could look at patching it in jQuery Update with a JS shim? Or submit a patch for the contrib module in question.

You mentioned an issue with Rules UI - does it seem like it'd be an easy fix?

Please re-open if there's something we need to fix in the module, and thanks!