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I think the argument against is the issue with inflation - you make a gain but need to buy a new place so you need the money, otherwise every move makes you poorer.
Sdlt does this already, mind
andyfallsoff-
In my example you'd still be making a £144k profit. Maybe deduct SD as a maintenance cost or scrap SDLT altogether. As for inflation, cry me a river. You'd have to have pretty high inflation to cancel our a £144k cash profit over 10 years or so. Besides, it's not cash you had for that ten years. The gain only appears when you realise the equity in your property.
Stonehedge
I'd love to see CGT at 28% for primary residences as well as other properties. Can't think of any reason why somebody should avoid paying capital gains after benefitting from a rise in property value. You home has increased in value by 200k since you bought it? Great, that'll be £56k please.
Maybe there is an argument to get rid of the CGT personal allowance and possibly raise rate for chargeable assets from 20% to 28% but as others have pointed out, you don't want do discourage people from taking risks with their capital.