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Some users have reported that updating Steam fixed their keyboard. The engine uses CoreFoundation for keyboard inputs. It used to be that way with mouse but then we changed it which solved a lot of mouse-related issues. I guess we'd have to do something similar for keyboard if nothing helps.
i've got the most recent update to Steam… package version 1454620878 released on Feb. 04, 2016, and I am still experiencing the error. i just confirmed it about 5 min. ago (20:00 GMT -05:00).
Ok, thanks for verifying. It seems this only had to do with the space bar not working then. We are looking into making a patch for this among other stuff that's been reported.