IMAP configured gmail no longer working in apple mail app

I have been using the apple mail app with an IMAP configured account for my gmail for many years with out issues.

I use the IMAP type account as it allows me to send from multiple alias addresses on my phone, as well as use an image in my email signature.

Using the default set up via google account in apple mail does not allow for sending from more than 1 address. And using the gmail app does not allow for an image in the email signature.

Recently my mail box has stopped working and comes up with the following error:

"No password provided for username@gmail.com, Please go to Mail Account Settings and enter a password"

I feel like this may have something to do with googles recent change: "from May 30, 2022, ​​Google no longer supports the use of third-party apps or devices which ask you to sign in to your Google Account using only your username and password."

I have tried the following to fix the issue with no success.

- Multiple captcha resets

- Deleted and re added the mail box (this work briefly once, but no longer helps)

- Enabled  2-Step-Verification, this did not work and also caused gmail to be unable to send via my alias email address from gmail on any device. (returned a mail delivery error email)

- Note, as a test adding the mail account using the default set up via google account in apple mail does work, but I can not send from my alias address.

Im now currently using the gmail app on my phone to manage my mail, but it does not allow me to have an image in my email signature which is important for my work purposes.

Im at my wits end trying to solve this one and would really like to continue being able to use apple mail with gmail (without loosing the send from alias and image in signature features)

Any help would be appreciated!