2021.2.0f1
URP:

Color Lookup and Vignette enabled: visible banding

Color Lookup disabled:

LUT file import settings:
LUT file attached.
Is this a real artifact or just an image of this LUT? Did you tried with another texture?
Try to use Filter Mode “Trilinear” too, play with Compression Quality…
@Kadae yes, I tried other textures and banding apear there as well.
I don’t know if this is a workaround or a proper way to do this, but I managed to get rid of it by chaning texture format to: RGB 16 bit:

Apparently automatic format uses lower precision which is not suitable for LUT textures.