I have the same kind of problem with VLC 2.1.2 :
I can connect from my PC navigator to the VLC server but my Android phone remote software, android-vlc-remote by Peter Baldwin, the first Free VLC remote in the google play list, seems to fail to connect.
More precisely, if password is not set in VLC options, a message says in the remote that a password must be set, but when i set the password, no server responds (it doesn't ask for a password).
However this android remote software documentation state that it is OK for VLC version with password function..
Maybe something is simply not explained enough in the VLC web (http lua) interface configuration with password (which seems to be mandatory on 2.1.x, not just an option) : a nice screenshot would be better than only text.
Answer will be also "change remote" ?
In this case can you say which free remote is OK with this new VLC version ?
At this time i have choose another option : downgraded to 2.0.8 and remote funtion is fine.
But then i may miss some important security corrections discussed here :
http://secunia.com/blog/shooting-the-messenger-372