Let $ G $ be a group. Let $ H $ be a finite subgroup. Define $ N_G^r(H) $ inductively by $$ N_G^{r+1}(H)=\{ g \in G: g H g^{-1} \subset N_G^r(H) \} $$ starting from $ N_G^1(H):= H $.
Note that $ N^2_G(H) = N_G(H) $ is just the normalizer in $ G $ of $ H $. Although $ N_G^1(H)= H $ and $ N_G^2(H)= N_G(H) $ are both groups, the set $ N_G^r(H) $ is generally not a group for $ r \geq 3 $.
My question: Is $ N_G^r(H) $ closed under inverses?
Some thoughts: If $ H $ is normal in $ G $ then $ N_G^r(H)=G $ for all $ r \geq 2 $ and the whole construction is trivial. So the question is only interesting if $ H $ is not a normal subgroup. It is certainly true for $ r=1,2 $ since groups are always closed under inverses.
Context:
This construction is used for a naturally occurring object called the Clifford hierarchy which appears in quantum computing. For example, the (single qubit) Clifford hierarchy is the case where $ G=\mathrm{U}(2) $ and $ H= \left\langle \begin{bmatrix} 0 & 1 \\ 1 & 0 \end{bmatrix}, \begin{bmatrix} 1 & 0 \\ 0 & -1 \end{bmatrix} \right\rangle $ is the single qubit Pauli group.
Update: As pointed out by Arturo Magidin in The set of all $x$ such that $xHx^{-1}\subseteq H$ is a subgroup, when $H\leq G$ if we allow $ H $ to be infinite then even $ N^2_G(H) $ is not necessarily closed under inverses. See the example given for $ G=GL(2,\mathbb{Q}) $ and $ H = \left\{\left.\left(\begin{array}{cc} 1 & m\\ 0 & 1\end{array}\right)\in G\ \right|\ m\in\mathbb{Z}\right\} $ where $ x = \left(\begin{array}{cc} 2 & 0\\ 0 & 1\end{array}\right) $ is in $ N^2_G(H) $ but $ x^{-1} $ is not.