WSUS BranchCache Windows 10 LTSB

Hi,

I’m attempting to setup and configure BranchCache (Distributed mode) to assist with updating our clients.  
Some background info:
Windows Firewall disabled on WSUS server
WSUS to update clients - Single WSUS server running 2012 R2.
2 clients in
BranchCache installed and configured on WSUS Server.
BranchCache enabled on clients for testing.

Monitoring client IEBQ01337POS02T via Perfmon and wireshark shows that all content is being received from the WSUS server, with no caching and nothing coming from cache or peer. Client GBBQ0137POS02T is thus I assume not utilizing BranchCache at all and the second client IEBQ01337POS02T  is using BranchCache and caching content locally. So first download on second client is from wsus server and when you uninstall and delete updates from SoftwareDistribution folder it is then taken from local cache. I only have these two clients to play with and I can't force the first one to use BranchCache and I don't know why.

Have I missed anything?  It seems I have configured everything but updates are fully downloaded over the WAN link from the WSUS server.
Please for more details see document attached.
Thanks a lot for support in advance,
Manual_WSUS_Configuration.docx