SQL Server Launchpad – The user has not been granted the requested logon type at this machine


I am trying to execute python scripts within t-sql on sql server 2017. With external scripts enabled, when executing a trivial script, I get the error "SQL Server was unable to communicate with the LaunchPad service. Please verify the configuration of the service". When I try to start the launchpad service, it fails to start reporting error "The user has not been granted the requested logon type at this machine" to the event logs. I have local admin on the host server and have tried to add NT Service\MSSQLLaunchpad to adminstrators and still fails for the same error. The NT Service\MSSQLLaunchpad does not have the explicit permission allow logon locally or logon as a service. I had my dba change the login to a domain user which does have those permissions and the same error occurred. Have also tried to repair the instance installation.

Any ideas of how to fix this problem?