Syntax highlighting in VS Code (v1.86.1) for Less files is incorrect for certain properties and values. Here are some of the properties there are issues with, though most properties/values are correctly highlighted. Highlighting seems to be correct with these same properties in SASS and CSS.
I have tried deleting everything in my settings.json related to Less, I tried installing the extension Prettier and set it to be the default formatter for all files, and I have restarted the application after changing settings, after disabling various extensions, etc; but nothing seems to change the highlighting.

I highly suspect this being due to the Less grammar update that happened in the VS Code update that just happened (1.86). See the release notes:
The relevant VS Code issue ticket tracking this is Consider adopting a new Less grammar #171239
If you find a bug, you should first check if an issue ticket has been raised in the better-less repo's issue tracker, and if not, raise one there. You could also instead/additionally raise the issue ticket in VS Code's issue tracker, but you may as well just report upstream.