Looks like it might be a Sass issue.
I used a mixin instead, which worked. Note: the vendor prefixes will have to be added as autoprefixer won’t touch it.
@mixin filter($filter-type,$filter-amount) {
-webkit-filter: $filter-type+unquote('(#{$filter-amount})');
-moz-filter: $filter-type+unquote('(#{$filter-amount})');
-ms-filter: $filter-type+unquote('(#{$filter-amount})');
-o-filter: $filter-type+unquote('(#{$filter-amount})');
filter: $filter-type+unquote('(#{$filter-amount})');
}
img {
@include filter(grayscale, 100%);
}