RemoteApp Disconnected This computer can't connect to the remote computer

After deploying a Remote Desktop Services environment on Server 2012 R2, users complained of an issue where they were no longer able to launch RemoteApps from the RD Web App portal.  The error they received was:

RemoteApp Disconnected

This computer can't connect to the remote computer.

Try connecting again. If the problem continues, contact the owner of the remote computer or your network administrator.

To resolve this issue open the properties for your application collection experiencing problems, navigate to security and untick "Allow connections only from computers running Remote Desktop with Network Level Authentication".

 

This sorted out the problem in my environment.

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