SDL Trados Studio 2017: Parser is removing non breaking space

A SDL Trados Studio 2017 query: We notice in our XML parsing that a non breaking space is removed during the parsing. We are using filters originally configured for SDL 2014 and we never had a removal there of the non breaking space.

So a combination of 'C2 A0 20' (non breaking space + regular space) is parsed as '20' removing the 'C2 A0' from the string.
Q1 > is this expected?
Q2 > would there be a setting to configure in the XML filter we are using?

Thanks for any hint.

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