VS Code version: Latest (2026)
Python extension version: 2026.2.0
OS: Windows
Problem: Despite setting
python.terminal.activateEnvironment: false in settings.json, the Python extension still automatically activates the selected Conda environment in the integrated terminal upon opening.
Steps to reproduce:
- Set \python.terminal.activateEnvironment: false in VS Code user settings.
- Select a Conda environment's Python interpreter in VS Code.
- Open a new integrated terminal.
- The terminal activates the selected Conda environment automatically.
Expected behavior: The terminal should not activate any Conda environment when the setting is false.
Actual behavior: The terminal activates the selected Conda environment regardless of the setting.
This issue persists even after clearing cache, refreshing interpreters, and restarting VS Code.