Here we get controlled all the time in the circuit - routinely we get instructed to extend "extend the downwind...and, caution wake turbulence" for landing air busses - the distance of the extension can be rather "silly".
Last Sunday after a flit around the island we swapped pilots for my friend to do some touch and goes - we managed two in 40 minutes - at one point "in the circuit" on the extended downwind we were 7.6 miles DME from the airport. The T&G's were in between a BA and an Air Canada so it does explain it - but the instruction to extend is rather odd as we could have got in and out again easily, but it pays to be safe rather than sorry.
On elected to go extend downwind, I don't see the issue so long as one climbs, but then once well above circuit height is one actually in the circuit?