Parallels claiming insufficient disk space

I'm running a Windows 11 (ARM) VM on Parallels Desktop Version 26.1.2 (57293)
It's been running fine for over 6 months, but today won't start claiming, "There's not enough disk space available to start..." (see image).
The amount of space hasn't changed recently, but it claimed it needed about 2GB extra. I cleared about 100GB from the disk taking the total free to 260GB. But it continued to complain there wasn't enough space, now saying it needed an extra 4GB of space. I cleared another 20 GB, but it continues to claim insufficient space (randomly anywhere from 2G to 6GB extra required). This looks like a bug to me. I have work that I wish to continue with on this VM (backed up, but restoring takes a lot of time). Any suggestions? Anyone else seen this?

I have other VMs on the same drive and all working fine.

 

I've worked out what the issue is. Parallels is reading the available disk space less the purgeable space. The OS will release this space to meet demand, so I'm not sure why Parallels won't continue when the total free space is more than adequate. To solve the problem, I only had to make another app demand the available free space and the purgeable space was released - then Parallels worked as normal.