diff --git a/clippy_lints/src/types/mod.rs b/clippy_lints/src/types/mod.rs
index 79f9d45d597..71a4b3fba1b 100644
--- a/clippy_lints/src/types/mod.rs
+++ b/clippy_lints/src/types/mod.rs
@@ -315,7 +315,7 @@ impl<'tcx> LateLintPass<'tcx> for Types {
     fn check_fn(
         &mut self,
         cx: &LateContext<'_>,
-        _: FnKind<'_>,
+        fn_kind: FnKind<'_>,
         decl: &FnDecl<'_>,
         _: &Body<'_>,
         _: Span,
@@ -340,6 +340,7 @@ fn check_fn(
             CheckTyContext {
                 is_in_trait_impl,
                 is_exported,
+                in_body: matches!(fn_kind, FnKind::Closure),
                 ..CheckTyContext::default()
             },
         );
@@ -427,7 +428,7 @@ fn check_local(&mut self, cx: &LateContext<'_>, local: &Local<'_>) {
                 cx,
                 ty,
                 CheckTyContext {
-                    is_local: true,
+                    in_body: true,
                     ..CheckTyContext::default()
                 },
             );
@@ -481,7 +482,7 @@ fn check_ty(&mut self, cx: &LateContext<'_>, hir_ty: &hir::Ty<'_>, mut context:
         }
 
         match hir_ty.kind {
-            TyKind::Path(ref qpath) if !context.is_local => {
+            TyKind::Path(ref qpath) if !context.in_body => {
                 let hir_id = hir_ty.hir_id;
                 let res = cx.qpath_res(qpath, hir_id);
                 if let Some(def_id) = res.opt_def_id() {
@@ -581,8 +582,8 @@ fn is_type_change_allowed(&self, context: CheckTyContext) -> bool {
 #[derive(Clone, Copy, Default)]
 struct CheckTyContext {
     is_in_trait_impl: bool,
-    /// `true` for types on local variables.
-    is_local: bool,
+    /// `true` for types on local variables and in closure signatures.
+    in_body: bool,
     /// `true` for types that are part of the public API.
     is_exported: bool,
     is_nested_call: bool,
diff --git a/tests/ui/redundant_allocation.rs b/tests/ui/redundant_allocation.rs
index b3257c04f82..e70f8e71fae 100644
--- a/tests/ui/redundant_allocation.rs
+++ b/tests/ui/redundant_allocation.rs
@@ -159,4 +159,9 @@ pub fn test_rc_box_custom(_: Rc<Box<Box<DynSized>>>) {}
     //~| NOTE: `Box<Box<DynSized>>` is already on the heap, `Rc<Box<Box<DynSized>>>` makes
 }
 
+// https://github.com/rust-lang/rust-clippy/issues/11417
+fn type_in_closure() {
+    let _ = |_: &mut Box<Box<dyn ToString>>| {};
+}
+
 fn main() {}
diff --git a/tests/ui/vec_box_sized.fixed b/tests/ui/vec_box_sized.fixed
index 4a5ef83856a..4363d2224af 100644
--- a/tests/ui/vec_box_sized.fixed
+++ b/tests/ui/vec_box_sized.fixed
@@ -49,4 +49,9 @@ mod inner_mod {
     }
 }
 
+// https://github.com/rust-lang/rust-clippy/issues/11417
+fn in_closure() {
+    let _ = |_: Vec<Box<dyn ToString>>| {};
+}
+
 fn main() {}
diff --git a/tests/ui/vec_box_sized.rs b/tests/ui/vec_box_sized.rs
index ea020405a30..f4e27fe4bd5 100644
--- a/tests/ui/vec_box_sized.rs
+++ b/tests/ui/vec_box_sized.rs
@@ -49,4 +49,9 @@ pub fn f() -> Vec<Box<S>> {
     }
 }
 
+// https://github.com/rust-lang/rust-clippy/issues/11417
+fn in_closure() {
+    let _ = |_: Vec<Box<dyn ToString>>| {};
+}
+
 fn main() {}