OK, I had to turn the windows firewall off on the other computer.

I got some interesting results! With both computers connected wirelessly to the router I see spikes of 200 Ms pinging the other computer. This happens approx evey 10 seconds. I don't think this is good or normal. When both are connected wired to the router it bounces between 1 and 0 pinging Evey second.

I was hoping it would happen when wired directly also as the main problem I have been experiencing is poor gameplay on my Xbox which is wired.