The automatically close visited files feature does work with next-error, however, as it true in other cases such as search results or references, it will not close a "visited" file which you have modified. This is why it appears that the feature is not working, although it really is. We could add logic to automatically close visited files to prompt if you want to save a file which you have modified before closing it, but the intrusiveness of prompting in those cases would probably make that more annoying that useful.