When the airport is crowded and you’re not accepting pattern work, the natural reaction would be to not allow people to do a touch and go. But you should.
Calling inbound for touch and goes does not mean they will be remaining in the pattern, they may simply just coming then going.
I got asked today if the person who was planning on doing a flight of X into a possibly busy airport, if they needed special permission or coordination with the controllers to do a low pass of the runway.
Unfortunately, I probably will need to let the controllers know beforehand that that is allowed.
“Cleared for the option” means that how the pilot’s approach terminates is at their own discretion. This means the pilot can do a touch-and-go, a stop-and-go, a full-stop landing, a low approach, or a missed approach. Just because pattern work is not allowed does not mean they can’t be cleared for the option then leave the airspace after their approach.