vscode-powershell: Debug adapter process has terminated unexpectedly

With the latest version of VS Code (1.4.0), and the latest version of PowerShell for VS Code (0.7.0) running on Windows 10 version 1607 OS Build 14393.51, whenever I run a PowerShell script, I get a ‘Debug adapter process has terminated unexpectedly’.

This is what I see in developer tools…

Ctrl+Alt+ keybindings should not be used by default under Windows. Offender: 40995 for PowerShell.ExpandAlias [Extension Host] Spell and Grammar checker active... [Extension Host] Default Settings [Extension Host] Code Actons Registering for: markdown [Extension Host] Code Actons Registering for: plaintext [Extension Host] powershell.exe started, pid: 8264, exe: C:\WINDOWS\Sysnative\WindowsPowerShell\v1.0\powershell.exe [Extension Host] Socket connected! Debug adapter process has terminated unexpectedly Debug adapter process has terminated unexpectedly: Error: Debug adapter process has terminated unexpectedly at Object.C [as create] (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:34:19570) at file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:105:21677 at Object.m [as _notify] (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:8153) at Object.B.enter (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:11658) at i.Class.define._run (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:12979) at i.Class.define._chainedError (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:12338) at i (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:10161) at i.Class.define.then (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:13788) at Object.P.enter (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:10230) at i.Class.define._run (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:12979) at i.Class.define._setCompleteValue (file:///C:/Program Files (x86)/Microsoft VS Code/resources/app/out/vs/workbench/workbench.main.js:30:12673)

This is my launch.json which hasn’t been changed since I updated PowerShell for VS Code…

{
    "version": "0.2.0",
    "configurations": [
        {
            "name": "PowerShell",
            "type": "PowerShell",
            "request": "launch",
            "program": "${file}",
            "args": [],
            "cwd": "${file}"
        },
        {
            "name": "PowerShell x86",
            "type": "PowerShell x86",
            "request": "launch",
            "program": "${file}",
            "args": [],
            "cwd": "${file}"
        }
    ]
}