The question is if the top has been deformed over the years with that much pressure from the soundpost. In that case shortening the soundpost might make it unusable.
Only checking the pressure by removing it can give a answer to it. Removing very little might not hurt, but removing a millimeter might be a bit much in that case.
Doesn't look nice, indeed, but trying to shorten the soundpost yourself and repositioning it can be deasastrous.
I would start with removing and setting it as it is until you can handle that more or less well and then you can decide if you want to shorten it or not. There should be a bit of pressure on the soundpost without the string pressure to (hopefully) hold it in place, but not more than that.
And even a shortened soundpost can be put in with too much pressure on top and back, it's just a bit closer to the ribs in a non-optimal position then.