It's odd that they put up their monthly payments. Are you sure? Normally, it is a set figure for the duration of the mortgage.
If you don't have dependents, it's a terrible waste of money. You are paying for something from which you will not benefit. If you have dependents, I would have thought it was essential.
Under the Consumer Credit Act, anyone under 50(?)must take out a mortgage protection policy unless it is prohibitively expensive due to ill health.
No, the bank will not be able to force you off your tracker if they find out that you don't have it, but they will tell you to take it out again. It could be more expensive now that you are older. But you may be able to shop around and get it cheaper.
To get a mortgage, you have to have it. I think that the insurance company notes the interest of the lender on the policy and should notify the lender that the policy has been cancelled.
Brendan