PWA is no longer creating connected SharePoint site when new project is added

Question

I am one of the organization's application administrator for Project Online - I have set up in the enterprise project type to automatically create a connected SharePoint site. (Automatically create a site on next publish option has been selected). This has always worked perfectly and no changes were made to the settings, but now a SharePoint site is no longer created. When I try to add it separately after the fact by going to PWA settings, connected SharePoint sites and click on 'create site', it won't create a site either.

Can anyone please help?