I have the same issue. iPhone 7plus won’t ‘wake up’ after tapping the off switch- I tap home and goes black raising it = same thing. Takes over 30seconds to wake up and it wakes up with background black with password then apple wallet shows up.
My touch screen stopped working the other day too. Had to restart my phone.
I am now updating to the latest version-we will see if it helps. Otherwise I will do what others said and back up and reload. Which we shouldn’t have to do.