According to the CAB:
It is unlawful for anyone providing goods, facilities or services in the United Kingdom to discriminate on grounds of race, either by refusing to provide goods, services or facilities, or by providing them on less favourable terms or conditions. This is the case regardless of whether the goods, services or facilities are provided for payment or free.
†˜Racial groundsââ‚à ‚¬Ã¢â€žÂ¢ include:-
- colour
- race
- nationality
- ethnic or national origins.
Seems to me that the only question is whether the UK bank is providing the Indian account as a service or just acting as the applicant's agent. Presumably the test would be if someone of non-Indian descent applied, would the UK bank fill in all the forms on their behalf, send them off, then relay the refusal back to them, or if they simply declined to offer the service ?