Cannot update Home Assistant Core. Error updating Home Assistant Core: 'HomeAssistantCore.update' blocked from execution, system is not healthy - setup

I cannot update Home Assistant Core. When I try to update I get: Error updating Home Assistant Core: ‘HomeAssistantCore.update’ blocked from execution, system is not healthy - setup

I am running Home Assistant via VirtualBox

I did not install or change anything recently. What could be the issue?

This is what I get in system logs:

Logger: homeassistant.components.websocket_api.http.connection
Source: components/websocket_api/commands.py:245
integration: Home Assistant WebSocket API (documentation, issues)
First occurred: 08:16:20 (4 occurrences)
Last logged: 08:21:56

[140404686282256] Unexpected exception
[140404653484656] Unexpected exception
Traceback (most recent call last):
  File "/usr/src/homeassistant/homeassistant/components/hassio/update.py", line 307, in async_install
    await self.coordinator.supervisor_client.homeassistant.update(
        HomeAssistantUpdateOptions(version=version, backup=backup)
    )
  File "/usr/local/lib/python3.13/site-packages/aiohasupervisor/homeassistant.py", line 34, in update
    await self._client.post(
        "core/update", json=options.to_dict() if options else None, timeout=None
    )
  File "/usr/local/lib/python3.13/site-packages/aiohasupervisor/client.py", line 173, in post
    return await self._request(
           ^^^^^^^^^^^^^^^^^^^^
    ...<7 lines>...
    )
    ^
  File "/usr/local/lib/python3.13/site-packages/aiohasupervisor/client.py", line 122, in _request
    raise exc_type(result.message, result.job_id)
aiohasupervisor.exceptions.SupervisorBadRequestError: 'HomeAssistantCore.update' blocked from execution, system is not healthy - setup

The above exception was the direct cause of the following exception:

Traceback (most recent call last):
  File "/usr/src/homeassistant/homeassistant/components/websocket_api/commands.py", line 245, in handle_call_service
    response = await hass.services.async_call(
               ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
    ...<7 lines>...
    )
    ^
  File "/usr/src/homeassistant/homeassistant/core.py", line 2802, in async_call
    response_data = await coro
                    ^^^^^^^^^^
  File "/usr/src/homeassistant/homeassistant/core.py", line 2845, in _execute_service
    return await target(service_call)
           ^^^^^^^^^^^^^^^^^^^^^^^^^^
  File "/usr/src/homeassistant/homeassistant/helpers/service.py", line 1007, in entity_service_call
    single_response = await _handle_entity_call(
                      ^^^^^^^^^^^^^^^^^^^^^^^^^^
        hass, entity, func, data, call.context
        ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
    )
    ^
  File "/usr/src/homeassistant/homeassistant/helpers/service.py", line 1079, in _handle_entity_call
    result = await task
             ^^^^^^^^^^
  File "/usr/src/homeassistant/homeassistant/components/update/__init__.py", line 157, in async_install
    await entity.async_install_with_progress(version, backup)
  File "/usr/src/homeassistant/homeassistant/components/update/__init__.py", line 502, in async_install_with_progress
    await self.async_install(version, backup)
  File "/usr/src/homeassistant/homeassistant/components/hassio/update.py", line 311, in async_install
    raise HomeAssistantError(
        f"Error updating Home Assistant Core: {err}"
    ) from err
homeassistant.exceptions.HomeAssistantError: Error updating Home Assistant Core: 'HomeAssistantCore.update' blocked from execution, system is not healthy - setup

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