Comment 11 for bug 168360

No need to reconfirm the bug exists -- it definitely still exists in SVN head. I've been looking at it the last few days.

It is actually two bugs:
 - The transform code is incorrect when clipping connector endpoints with some particular set of transforms applied to the ancestors.
 - Transforms of group objects currently have no mechanism in Inkscape to alert the child objects that they have effectively moved.

The first one should be relatively easy to fix.

The second one is currently achieved for things like patterns and gradients in an ad hoc fashion. Something similar will need to be done for connectors.

I'm working on it.