Shanagans, the big problem isn't what we're 'allowed' to wear, but that so many crossdressers think that they feel they have the right to insist that other people (most often, we want WOMEN) to LIKE it and be attracted to us that way. And that isn't something that you can legislate.
If I can give a really good analogy, in america fat women have been insisting that 'real women have curves' when what they mean is 'real women are fat', and that all men should just accept it and learn to like it. Not gonna happen. You can't change what turns someone on anymore than you can change what turns them off. And if a woman is turned off by a guy who dresses in girl attire, there's no way you're going to make that guy 'hot' to her (other than perhaps having the guy become a billionaire, which might make her willing to overlook the crossdressing and 'close her eyes and do it for king and country' as they used to say). If you start having 95% of men dress and act like girls, then most women are going to be interested in 5% of the men who don't. Sure, some will 'settle', when they realize no other men are available, but you still can't force them to like it.