Looking at the number of recent threads with similar latency/packet issues it seems that it may be broader than just individual cases. Perhaps this is happening due to an increased load from greater number of people staying at home?
Hopefully, the support team can acknowledge and fix these issues in individual cases and hopefully work to investigate/fix if it may be a systematic problem.
After multiple additional conversations with the VM support, they have ordered me a new Hub. I am sceptical that this will fix the issue, though I'm hopeful that the next steps may actually lead to someone having a proper look at the infrastructure / Hub software.
Here's the update (in case the forum team ever looks at it) - I received a new Hub yesterday and it immediately updated to the latest software version. The latency issue has not gotten better at all since then.
I guess the only option is to once again try get in touch with VM support.