I think there's a difference between recognising a behavior is harmful, but needing to continue the behavior to cope with a bigger problem; and being in denial about the harmfulness of a behavior.

It sounds to me as though the T isn't willing to back down on this as a way of confronting denial. I suspect if there was recognition of the behavior as a problem by the client, the T would be supportive about the degree/timing of change attempted.

What I don't know is how long a T is willing to confront before refusing to treat, if the denial continues.