I would think (from experience) shortening the cable would be no problem, however they may use the opportunity to remove the looped supply (they would normally do that part at their expense), I would mention it to them when you discuss the service alteration, they might not like having to do the job twice!
They may insist that the cable is upgraded if you want it moved further away which is a whole other ball game, it would have to meet current regs and rules have changed regarding volt drop where heat pumps and EV chargers are concerned. A recent job I did, DNO installed new supply to house, they ran 300mm2 wavecon from the pole across the road, all the way up the drive, to the base of the meter box and then jointed it to a 35mm? Wavecon and up into the cutout. It was only an 80 amp 3 phase supply, only a few years ago they would have run the 35mm all the way back to the pole!