I just thought of a fix for this that may work but I don't have my bash bunny to test it.
Could you turn off internet in the bottom right before trying this on the log screen?
Press the little icon bottom right.
Press the slider on the adapter to off
Press back on main screen
Try now
Microsoft may be contacting its server or something as part of the new fix on the creators update on live accounts.
Due to local accounts being known to work on the new creators update this may just work.