Hi Paul, I'm sure you have tried this from above but I slightly altered a couple of bits and then it worked for me...
\\Steps (follow at your own discretion)
Open "Keychain Access"
In "View", enable "Show Invisible Items"
Search for "Auto Unlock"
You should see a whole bunch of application passwords for "Auto Unlock: XXXX's ..."
Select all records and delete (this will reset/disable auto unlock on other Macs if you use multiple Macs)
Whilst still in "Keychain Access", search for "AutoUnlock" (no space)
There should be 4 entries for "tlk" "tlk-nonsync" "classA" "classC"
Select 4 records and delete (don't worry if they re-appear, the system repairs this automatically)
Open "Finder" and navigate to "~/Library/Sharing/AutoUnlock"
There should be two files "ltk.plist" and "pairing-records.plist" (I actually made a copy of these on a USB stick first - belt and braces!)
Delete both files
Open "System Preferences" and try enabling auto unlock. You may need to enable it twice, the first attempt will fail.
Then re boot and try enabling (didn’t work first time without the reboot)
It might be what you have already tried. I didn't think it had worked but once I rebooted all my devices (Apple Watch, MacBook and iPhone for the heck of it!) It then worked!
Hope you get it sorted, I really missed the ease of use when it wasn't working!
Cheers,
Rachel