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Setting the databases from the simple recovery model to the full recovery model and then back again to the simple recovery model seems to clear the issue. A new full backup must be taken at that point but differential backups will work fine from that point on.
I'm still attempting to determine root cause and if I find what it is I'll post it but the workaround allows me to keep doing backups using differentials. / comments
Setting the databases from the simple recovery model to the full recovery model and then back again to the simple recovery model seems to clear the issue. A new full backup must be taken at that p...