How do I fix Apple Watch update verification errors?

My Apple Watch (series 5) has recently been reset, as I was preparing to sell it. However, due to slight crack on the screen this is now not possible. I have since tried to re pair the watch to my iPhone 13 so I can use it again. However when I start the pairing process the watch app (on my phone) states that the watch requires an update (watch OS 10.6.1). When I press the install button it begins to download and then eventually an error message always appears stating unable to verify due to no internet connection, even though the phone is connected to my WIFI. Can anyone help with this issue please? It’s driving me mad as I can’t get past this process. It will not pair unless the update is completed. Many thanks in advance.

[Re-Titled by Moderator]