diff --git a/packages/compiler-cli/test/compliance/r3_view_compiler_template_spec.ts b/packages/compiler-cli/test/compliance/r3_view_compiler_template_spec.ts
index 5af1113bca..b0ed81d0c7 100644
--- a/packages/compiler-cli/test/compliance/r3_view_compiler_template_spec.ts
+++ b/packages/compiler-cli/test/compliance/r3_view_compiler_template_spec.ts
@@ -117,6 +117,63 @@ describe('compiler compliance: template', () => {
     expectEmit(result.source, template, 'Incorrect template');
   });
 
+  it('should correctly bind to context in nested template with many bindings', () => {
+    const files = {
+      app: {
+        'spec.ts': `
+              import {Component, NgModule} from '@angular/core';
+
+              @Component({
+                selector: 'my-component',
+                template: \`
+                  <div *ngFor="let d of _data; let i = index" (click)="_handleClick(d, i)"></div>
+                \`
+              })
+              export class MyComponent {
+                _data = [1,2,3];
+                _handleClick(d: any, i: any) {}
+              }
+
+              @NgModule({declarations: [MyComponent]})
+              export class MyModule {}
+          `
+      }
+    };
+
+    const template = `
+        const $t0_attrs$ = ["ngFor", "", ${AttributeMarker.SelectOnly}, "ngForOf"];
+        const $e_attrs$ = [${AttributeMarker.SelectOnly}, "click"];
+
+        function MyComponent_div_0_Template(rf, ctx) {
+          if (rf & 1) {
+            const $s$ = $r3$.ɵgetCurrentView();
+            $r3$.ɵelementStart(0, "div", $e_attrs$);
+            $r3$.ɵlistener("click", function MyComponent_div_0_Template_div_click_0_listener($event) {
+              $r3$.ɵrestoreView($s$);
+              const $d$ = ctx.$implicit;
+              const $i$ = ctx.index;
+              const $comp$ = $r3$.ɵnextContext();
+              return $comp$._handleClick($d$, $i$);
+            });
+            $r3$.ɵelementEnd();
+          }
+        }
+        // ...
+        template: function MyComponent_Template(rf, ctx) {
+          if (rf & 1) {
+            $r3$.ɵtemplate(0, MyComponent_div_0_Template, 1, 0, "div", $t0_attrs$);
+          }
+          if (rf & 2) {
+            $r3$.ɵelementProperty(0, "ngForOf", $r3$.ɵbind(ctx._data));
+          }
+        }
+        `;
+
+    const result = compile(files, angularFiles);
+
+    expectEmit(result.source, template, 'Incorrect template');
+  });
+
   it('should support ngFor context variables', () => {
     const files = {
       app: {
diff --git a/packages/compiler/src/render3/view/template.ts b/packages/compiler/src/render3/view/template.ts
index cd0f9474ce..fb0af532dc 100644
--- a/packages/compiler/src/render3/view/template.ts
+++ b/packages/compiler/src/render3/view/template.ts
@@ -1431,7 +1431,8 @@ export class BindingScope implements LocalResolver {
   }
 
   maybeGenerateSharedContextVar(value: BindingData) {
-    if (value.priority === DeclarationPriority.CONTEXT) {
+    if (value.priority === DeclarationPriority.CONTEXT &&
+        value.retrievalLevel < this.bindingLevel) {
       const sharedCtxObj = this.map.get(SHARED_CONTEXT_KEY + value.retrievalLevel);
       if (sharedCtxObj) {
         sharedCtxObj.declare = true;
diff --git a/tools/material-ci/angular_material_test_blocklist.js b/tools/material-ci/angular_material_test_blocklist.js
index e924cf2ff4..03ff9d394e 100644
--- a/tools/material-ci/angular_material_test_blocklist.js
+++ b/tools/material-ci/angular_material_test_blocklist.js
@@ -597,30 +597,6 @@ window.testBlocklist = {
     "error": "TypeError: Cannot read property 'getBoundingClientRect' of null",
     "notes": "Unknown"
   },
-  "MatTabGroup basic behavior should change selected index on click": {
-    "error": "Error: Expected 0 to be 1.",
-    "notes": "Unknown"
-  },
-  "MatTabGroup basic behavior should support two-way binding for selectedIndex": {
-    "error": "TypeError: ctx_r16151._handleClick is not a function",
-    "notes": "Unknown"
-  },
-  "MatTabGroup basic behavior should fire animation done event": {
-    "error": "TypeError: ctx_r16547._handleClick is not a function",
-    "notes": "Unknown"
-  },
-  "MatTabGroup basic behavior should emit focusChange event on click": {
-    "error": "Error: Expected spy handleFocus to have been called once. It was called 0 times.",
-    "notes": "Unknown"
-  },
-  "MatTabGroup basic behavior should emit focusChange on arrow key navigation": {
-    "error": "Error: Expected spy handleFocus to have been called once. It was called 0 times.",
-    "notes": "Unknown"
-  },
-  "MatTabGroup lazy loaded tabs should lazy load the second tab": {
-    "error": "TypeError: ctx_r17471._handleClick is not a function",
-    "notes": "Unknown"
-  },
   "Dialog should set the proper animation states": {
     "error": "TypeError: Cannot read property 'componentInstance' of null",
     "notes": "FW-1059: DebugNode.query should query nodes in the logical tree"