Crossword Genius

Scandal involving royal house making bit of capital (9,4)

Ross

I believe the answer is:

lancaster gate

'scandal involving royal' is the definition.
I don't know anything about this answer so I can't judge whether it can be defined by this definition.

'house making bit of capital' is the wordplay.
I cannot quite understand how this works, but
'house' could be 'lancaster' (I've seen this before) and 'lancaster' is found in the answer.
'bit' could be 'ate' ('bite' can be similar in meaning to 'eat') and 'ate' is found within the answer.
A single letter 'g' remains which might be clued in a way I don't understand.
This may be the basis of the clue (or it may be nonsense).

I've seen this clue in The Guardian.
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