If you have four 128-bit packed SIMD, you must execute 4 different instructions at once or the others go to waste. With SVE, you could (in theory) use all 4 as a single, very wide vector for common operations if there weren't a lot of instructions competing for execution ports. You could even dynamically allocate them based on expected vector size or amount of vector instructions coming down the pipeline.
Additionally, adding two 2048-bit vectors using NEON (128-bit packed SIMD) would require 16 add instructions while SVE would require just one. That's a massive code size reduction which matters for I-cache and the frontend throughput.