Wireless connection is too weak to unlock with apple watch
I have a new(ish) MacBookPro 16in M1. I am getting "Wireless connection is too weak to unlock with apple watch" whenever waking it up. Usually it works if I click 'Cancel' and try again (as others have suggested) - but sometimes it needs several attempts. I don't think it's a watch issue as it unlocks my iMac (which is further away) reliably.
Is the connection via wireless LAN or bluetooth? No issues here with either otherwise.
Is this likely to be a hardware issue with the MBP or software?
OS 12.3.1; Apple Watch Series 4 OS8.5.1; iPhone !2 Pro OS 15.4.1
Apple Watch, watchOS 4