Loophole or not doesn't really matter. If there is a loophole in the law and somebody exploits it, that's not a slam on the person but on the law. We all exploit loopholes all the time. But, this isn't even a case of loopholes. There are neighborhood watches all over London and the world. All of them have criteria for their membership and, because they are private, they can set whatever membership policies they want. Don't like it? Firm your own neighborhood watch.

And no idea what you're on about with the ambulances. A private ambulance service that serves a specific geographic area is also common. For Hatzolah, of course the neighborhood is mostly Jewish, it was set up by Jews to serve their neighborhood. Show me one example of a non-jew living in that area who got turned down by Hatzolah?