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Even in current TVs 120Hz isn't universal, a big share of the console audience is still playing on 60Hz panels, hence why not that many games on current gen have a dedicated 40fps mode.
Would it be nice to have? Of course.
But given most players probably don't have the hardware for it and that 30fps gives more headroom for fidelity and consistency anyway, I can understand Ninja Theory's decision to stick with the traditional target of 30 instead.
They're already pushing UE5 and the Xbox Series pretty hard, the extra work needed to get it all running at a locked 40fps may simply not have been deemed worth the payoff.