Mac Keyboard Issues - Parallels

I am hoping this is a simple one. A Mac using the latest os and running Parallels previously had the wireless keyboard (Magic Keyboard 2) in use. Due to the requirement of a number pad, the wired keyboard was connected.

As soon as the usb keyboard was connected, Parallels popped up asking if it had to be connected to Mac or Windows. Windows was selected and now it cant be used in Mac.

Any ideas on what the correct settings should be so that it allows it in BOTH Mac and Windows (Parallels VMs).
J-J-GAsked:
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Eoin OSullivanConnect With a Mentor ConsultantCommented:
What version of Parallels are you using?
On Parallels 11 the USB keyboard I am using works on both as long as the keyboard is not specifically assigned to Windows.
Clear any permanent USB hardware assignments in the Parallels Preferences
Shutdown the Windows VM and then edit its settings and ensure that the default option under USB Connection Preferences is
'When a new device is detected" : "Connect it to my mac"
Now ensure the USB keyboard is working in OSX before restarting the Windows VM
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