I honestly cannot believe how garbage Microsoft Teams actually is.
- You can't add words to the dictionary? Seriously?
- It's a major resource hog (Requires a top end PC to work, else use Teams and nothing else at the same time)
- The arrow keys randomly stop working,
- No animated background in video calls (OK, not a deal breaker but close).
- Navigation is mess. Trying to find certain meetings, chats, you name it, it's a chore. If you have a choice, use preferably Slack (or Zoom if you must) as they are superior.
Anyway, enough of a rant.
You are here to fix the arrow keys so simple step first, try killing Teams via Task Manager. If that doesn't work then there are many other time-wasting fixes.
Clear the cache, upgrade Teams and of the course, the Windows cure all, reboot.