Do you see an update for the premium installer as well?  If not, deactivate the premium installer and then try running the theme update again.

Thanks.

I was previously told to de-activate Premium Installer because I was told that it was that plugin that was causing other plugins to deactivate. Has this update resolved that issue?

I have this under the plugin, which doesn’t make sense because I have a full license:

There is an update for the All Premium Plugins and Themes Installer plugin.
Version 1.3.0 of the plugin is available.
View version 1.3.0 details.
Automatic update is unavailable for this plugin – most likely because the license key is not present and activated.

OK. I turns out none of the license had been activated, I have done this now, hopefully that solves the problem.