Base Filtering Engine service fails to start with error code 5 along with other services

Symptoms: On Windows 2008 R2 server, Base Filtering Engine service fails to start and throws error code 5.

Following services which are directly or indirectly dependent on BFE also fail. They are:

IPsec Policy Agent (PolicyAgent)
Windows Firewall
IKE and AuthIP IPsec Keying Modules
Internet Connection Sharing (ICS)
Routing and Remote Access

You cannot ping the server and when you ping from inside, it gives error Transmit Failed

Solution:

• Navigate to the following registry key: HKLM\System\CurrentControlSet\Services\BFE
• Grant full permission to the NT Service\BFE account on the above mentioned key.
• Also ensure that the following subkey inherits permission for BFE account:

  \BFE\Parameters\Policy\Persistent