Automatic Updates is greyed out on server

In Group Policy Management under Domains you have 3 ‘Update Services’ entries – for Client Computers, Common Settings and Server Computers.

You need to unset Automatic Updates in both Common Settings and Server Computers for Update Services:

– Right click ‘Small Business Server Update Services Common Settings Policy’ and Edit
– Navigate to ‘Administrative Templates / Windows Components / Windows Update’
– Double click ‘Configure Automatic Updates’ on the right and set to ‘Not Configured’ and ok then close that window.

Repeat for ‘Small Business Server Update Services Server Computers Policy’.
Client PC updates can be left on for automatic updating or whatever you want by in the ‘.. Client Computers Policy’ entry.
To check the settings a ‘gpupdate /force’ was run and then the Automatic Updates pane on the servers was back to manual control.