I have done alot of trouble shooting and found the following workaround (it is not a solution but it will keep you sane untill microsoft finally wake up, but they wont)!
Buy a USB-C to USB A female (can be a hub or singular little one if you want small) and use your peripherals through that.
I have had absolutely no issues working through the usbc usb port (which is seperate device to all the other device usb's!)
On a side note i took my laptop to the Microsoft store. The technician was very honest with me and just said yeah sorry we dont make the best hardware. He actually showed me some other brand laptops my company could use as alternatives. He wrote a note about this and send it off to some useless staff forum which will sit in cyber space doing sweet FA.
Lucky for me this is a work laptop. I wouldnt pay for hardware from microsoft ever! Sorry to those who did.