Unable to run/debug robot tests in vscode - robocorp extensions installed

Question

I have installed Robocorp Code as well as Robot Framework Language Server and have configured them. However, I am still having errors when trying to run the tests via the code lens options.

Repo - A webapi repo with a specific folder containing all tests. Lets call it regression. RF - 4.1.3 Python - 3.8

This is what happens when I click on Run on the code lens for any of the tests -

`PS C:\git\xxxx\regression> C:; cd 'C:\git\xxxx\regression'; & 'C:\Users\xxxx\AppData\Local\Temp\rf-ls-run\run_env_00_smh5defr.bat' '-u' 'c:\Users\xxxx.vscode\extensions\robocorp.robotframework-lsp-0.47.2\src\robotframework_debug_adapter\run_robot__main__.py' '--port' '54331' '--no-debug' '--argumentfile' 'C:\git\xxxx\regression\args-local.txt' '--pythonpath' 'c:\git\xxxx\regression\common\lib' '--variable' 'EXECDIR:C:/git/xxxx/regression' '--prerunmodifier=robotframework_debug_adapter.prerun_modifiers.FilteringTestsSuiteVisitor' 'c:\git\xxxx\regression\api\api_Test.robot'

[ ERROR ] Parsing'--pythonpath' failed: File or directory to execute does not exist.

However, the test starts if I remove the argumentfile parameter but it, of course, fails because its missing arguments from the file. Do note that the folder specified in pythopath exists and has some python libraries needed for the tests.