azure-functions-powershell-worker: Could not attach to process with CustomPipeName: 'AzureFunctionsPSWorker'

I have a PowerShell Function App which I would like to build and test locally. Previously, I could run locally with no issue, but now this is no the case. When I type func host start or F5, I am prompted with the following error:

You must have the Azure Functions Core Tools installed to debug your local functions.

When I click install, I get the following error:

Could not attach to process with CustomPipeName: ‘AzureFunctionsPSWorker’

*** I have opened this issue in the vscode-azurefunctions repo as well. As I am not sure who can help me: https://github.com/microsoft/vscode-azurefunctions/issues/1744#issue-534941282