I reinstalled K-Lite Codec pack and then reset the settings and now it's working. I honestly can't say what triggered this, it all seemed to happen after the update. Maybe a bug? I'll keep you updated if anything goes wrong again.

It doesn't show up in the tray. I have tested it with other players it is just WMP. I have just checked again and I can't see a wrong setting.

I double checked the codec tweaker and everything is as shown in the example. After installing the component it works fine with with MPC-HC. But I would prefer to use it with WMP.

Reinstall did nothing. It also doesn't even trigger the error using windows media player.