Xcode 9.3 fails to create or compile new c++ projects

Using Mac High Sierra, Xcode 9.3 and UE 4.18.
After upgrading to Xcode 9.3 I can no longer create C++ projects or open existing ones. Blueprint projects open as expected.

Steps to reproduce:
Upgrade to latest Xcode version - 9.3.
Open a C++ project
Failure to open project message - asks if you want to open in Xcode.
Open in Xcode and get the following build errors “Shell Script Invocation Error” - “Lambda Capture ‘LocalMapLayoutCapture’ is not used in UnrealType.h”, "Lambda Capture ‘LocalSetLayoutForCapture’ is not used in UnrealType.h

Projects were working fine when using Xcode 9.2 - was getting error messages about metal shaders being unable to compile because Xcode was out of date and also missing materials on the first person character.
Upgraded to Xcode 9.3 but then the project is now unable to compile and any new C++ projects can’t be created.
Blueprint projects can be created and opened as normal.

Anyone experiencing the same thing or is this looking like a reinstall of everything & going back to Xcode 9.2?

Note - reverting to Xcode 9.2 fixes everything, no issues. Just Xcode 9.3.


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I downgraded my Xcode 9.4.1 to Xcode 9.0 and it is fixed.