Can't start Mac with iPhone S2

I

iMore Question

I have recently updated from the original Apple Watch Sport to a Series 2 Sport. Previously I was able to unlock my Mac (late 2013 15" Retina, latest Sierra) with my watch, but this has stopped working with the new watch...continually get the "Your Mac was unable to communicate with your Apple Watch." message. I've removed my original device from my list of devices in iCloud, restarted all devices (including iPhone 7+), toggled wifi, bluetooth, handoff, checked iCloud sign in...all to no avail. Any suggestions?
 

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