VSCode in WSL - not possible to activate the install tool

Using Ubuntu 22.04 on WSL2 -

When opening a C# workspace in Code, I get an error message:

Cannot activate the 'C# Dev Kit' extension because it depends on the '.NET Install Tool for Extension Authors' extension which is disabled.

C# Dev Kit is installed correctly, however, the '.NET Install Tool for Extension Authors' is not.
I can install this in the extension manager and it appears to be successful, however when reloading the window or restarting VS Code, it is automatically uninstalled again.

.NET SDKs 6 and 7 are installed in WSL