The currently published version of vscode-postgresql (0.3.0) uses a very old version of pgsqltoolsservice that doesn't support Apple silicon, newer versions do but the extension is not configured to use the newer versions.
While waiting on Microsoft's team to accept a PR, there are small changes to fix this now.
- Install the psql extension
- Navigate to the extension root on the file system (normally
~/.vscode/extensions/ms-ossdata.vscode-postgresql-0.3.0/
) - Update two files: config.json and platform.js
- Reload the window or close/restart vscode