This varies with different HGIs. Some give free breakfast to everyone, some ignore your profile and give free breakfast to gold and diamond regardless (Sunderland, Glasgow?), some let you choose at check-in despite what your profile says (Hatton Cross) and some check your profile at check-in, but it is possible to change it if you have the "wrong" choice selected (Old Trafford).

Thus it is usually possible to get both despite this being outside the rules. I have only seen one report where they forced the status member to pay (Zurich) and were unable to change the profile, which may be due to poor training / inexperience at a new hotel