1.3.0 Mouse.current.device disables itself in game with a mouse plugged in

I’m using the 1.3.0 input package and managed to switch from the old input system successfully. My keyboard and mouse inputs and positon were working well, that is until I clicked and tinkering with my InputSystemPackage asset or so in the project settings. I suspect it’s a problem of my own making but after 2 and half days on this I’m pretty desperate for a solution.

The Mouse.current.device seems to disable itself after 2 frames or so, therefore any input related to mouse does not work or even just a script asking for the world position returns 0,0. My mouse works fine but is getting turned off (as far as unity is concerned) once I click play almost instantly (I still see the cursor but the game doesn’t recognize any input or position from it)

I created a simple script to confirm that and running it in an empty scene.

[SerializeField] private Vector3 mousePos; //This stays at 0,0

void Update()
{
mousePos = Mouse.current.position.ReadValue();
Debug.Log(Mouse.current.position.ReadValue().ToString());
Debug.Log(Mouse.current.device.enabled.ToString());
}

Now the interesting part is it shows the device being enabled for 2 frames and then being turned off.

Is there anything obvious that would do this? This is happening on a scene with nothing else.

Here are my settings, I have tried adding mouse/keyboard to supported devices and also tried with the list empty as you can see on the screenshot below if that matters. No matter what I do the keyboard works but not the mouse.

I found my answer here "Device is DISABLED" for mouse every time a game starts? I had the Simulate Touch Input From Mouse or Pen checked (maybe something to do with the fact the input system can only have one mouse?)