On Windows: Local variables entry is missing the suffix

[EmiliaBlasten]

Right after installing the package auth-source-xoauth2 I can log in to my imap servers using oauth2 no problem. After restarting emacs and opening gnus again, I cannot connect to the server. I get the following warning (server name changed to XXX):

Warning: Unable to open server nnimap+XXX due to: Local variables entry is missing the suffix

If I do M-x package-delete auth-source-xoauth2-20220804.2219 and then M-x package-install auth-source-xoauth2 then it fixes the problem until I close and restart emacs.