I can reproduce your issue exactly, which led me to look to see if it has been reported on github. It has, see Snippets gone from IntelliSense.
From same issue as above:
I have pushed a fix for next insiders and I have pitched this for the
1.75.1 recovery release
It is in today’s Insiders (I just tested it) 02/03/2023.
So you can either try the Insiders Build now or wait for the Recovery Release. And continue to use the manual trigger of Ctrl+Space in the meantime.
As @WayneBloss mentions in a comment below, disabling the snippetsPreventQuickSuggestions setting might fix the issue.