6.5.1005.7 has broken Proton prefix creation

[Ladislav Horvath]

New update to OEM kernel 6.5.1005.7 (package linux-oem-22.04d) has broken Proton gaming. It's not possible anymore to create new game prefix on first run. When i click on "Play" in Steam client (native .deb), system tries to create game prefix but fails shorty afterwards and game will not launch. Previous version of this kernel worked without issues.

When running Steam from terminal, it says someting like this:

pressure-vessel-wrap[3382]: E: Cannot run /home/laco/.steam/debian-installation/steamapps/common/SteamLinuxRuntime_sniper/pressure-vessel/bin/pv-bwrap: wait status 256
pressure-vessel-wrap[3382]: E: Diagnostic output:
bwrap: Creating new namespace failed: Permission denied