The Psalms appear in paragraph form in the New Jerusalem Bible:
A forum member brought it to my attention that this is different from at least some print editions:
Is this an error in the Logos resource, or is the Logos Edition following a particular print edition which has the Psalms in block formatting? NOTE: The block formatting does not appear to be a platform specific issue. I am seeing the block formatting in L6 (6.0b b4), as well as the Bible! App (iOS) and Biblia.com.
macOS, iOS & iPadOS | Logs | Install
I am unable to verify formatting with the New Jerusalem Bible but can confirm that the print edition of the original 1966 edition is the block formatting you show in the second example.
The 1990 print edition has it in poem formatting. And I can confirm that the Logos edition is in block formatting, just as the screenshot shows.