I've set up ftp-simple to connect to my remote server. Files show up fine, however directories appear with [DIR] next to them which, when clicked, disappear with a red line through it, as per image below (template-parts was the directory which I had just clicked on).
As mentioned, files are fine - they load perfectly, but it's the directories which have the issue.
Nothing shows up in the output log when this happens and I can't seem to find anything about this issue elsewhere.
The only solution I have found is this.
In vscode, go File->Preferences->Settings.
Then at the search area type this -> ftp-simple.remote-workspace-load-all <- and set it to false.
What this does is, when you first load a directory (the default path that has been set in vsc config), vsc is going to load only the content of this specific directory.
Then, only if you click another directory ([DIR]), it will start to download the content of this directory.