Thanks for the reply, but still no luck.
I have set up remote access as per the directions on the MS website. The allow remote access option is ticked and fast user switching is also ticked. I have created a new account called Remote and have my normal account, both with admin access.
I power up both PCs and log into my normal account. I try to access the media centre remotly and enter Remote as the user name but get the same error message... that I can't log in due to an account restriction. There are no passwords set in place that I may have mistyped.
I have shared folders on the media centre that I currently access fine and use a wireless link.