I wouldn’t hesitate to trim it down with a dremel. Other question though is can that clip be adjusted? Right now it looks like the optic may also get slightly hung up on a belt which could potentially dislodge it from the holster

I'd be more concerned of the optic hanging on the inside of your pants when drawing it
assuming it IWB, which is what it looks like to me

It clears my belt fine and I can't adjust the clip. I may end up getting another holster and use this one for a regular shield.

Put the sanding wheel on the dremel and knock a 1/16” off of it. Even if it doesn’t help for the gun with an optic, it won’t hurt anything for a different gun

3%Outdoorsman 97%@$$,
I do actually carry, EVERY day. In fact I have clearances to carry in places where you can’t even possess nail clippers. I happen to own several leather holsters from different high end leather crafters. It just so happens that my current EDC is a Glock 48. Being a Glock (striker fired pistol, with no manual safety) I prefer Kydex that is molded to catch on the front of the trigger guard and protecting the trigger from accidentally being depressed by any outside the holster pressure.

Mine has broken but of course I don’t swing from it like an orangutan,

Who makes that one? I like it.