diff --git a/deluge/ui/webui/utils.py b/deluge/ui/webui/utils.py
index 667701962..7c30041f3 100644
--- a/deluge/ui/webui/utils.py
+++ b/deluge/ui/webui/utils.py
@@ -158,13 +158,37 @@ def get_newforms_data(form_class):
 #/utils
 
 #daemon:
+def get_localhost_auth_uri(uri):
+    """
+    Grabs the localclient auth line from the 'auth' file and creates a localhost uri
+
+    :param uri: the uri to add the authentication info to
+    :returns: a localhost uri containing authentication information or None if the information is not available
+    """
+    import deluge.configmanager
+    auth_file = deluge.configmanager.get_config_dir("auth")
+    if os.path.exists(auth_file):
+        import urlparse
+        u = urlparse.urlsplit(uri)
+        for line in open(auth_file):
+            username, password = line.split(":")
+            if username == "localclient":
+                # We use '127.0.0.1' in place of 'localhost' just incase this isn't defined properly
+                hostname = u.hostname.replace("localhost", "127.0.0.1")
+                return u.scheme + "://" + username + ":" + password + "@" + hostname + ":" + str(u.port)
+    return None
 def daemon_test_online_status(uri):
     """Tests the status of URI.. Returns True or False depending on status.
     """
     online = True
     host = None
     try:
-        host = xmlrpclib.ServerProxy(uri)
+        import urlparse
+        u = urlparse.urlsplit(uri)
+        if u.hostname == "localhost" or u.hostname == "127.0.0.1":
+            host = xmlrpclib.ServerProxy(get_localhost_auth_uri(uri))
+        else:
+            host = xmlrpclib.ServerProxy(uri)
         host.ping()
     except socket.error:
         online = False
@@ -185,6 +209,10 @@ def daemon_connect(uri):
         config['daemon'] = uri
         config.save()
 
+    import urlparse
+    u = urlparse.urlsplit(uri)
+    if u.hostname == "localhost" or u.hostname == "127.0.0.1":
+        uri = get_localhost_auth_uri(uri)
     sclient.set_core_uri(uri)
     webui_plugin_manager.start()
 
@@ -277,5 +305,3 @@ def guess_mime_type(path):
         return extensions_map[ext]
     else:
         return 'application/octet-stream'
-
-