Under the government's franchise plan for the NHS, shareholders and equity investors will use the service's logo as a Trojan horse to prise open the budgets of other countries' health systems and to front up their unethical, fraudulent and inequitable activities. However, prospective customers will be buying neither NHS services nor the NHS model of care.

Since 1948, the NHS has been the model for universal heathcare on the basis of need and free at the point of use. In 2012, parliament in England passed a law effectively ending the NHS by abolishing the 60-year duty on the government to secure and provide healthcare for all. From 2013, there will be no National Health Service in England, and tax funding will increasingly flow to global healthcare corporations. In contrast, Scotland and Wales will continue to have a publicly accountable national health service.

NHS hospitals and services are being sold off or incorporated; land and buildings are being turned over to bankers and equity investors. RBS, Assura, Serco and Carillion, to name but a few, are raking in billions in taxpayer funds for leasing out and part-operating PFI hospitals, community clinics and GP surgeries that we once owned.

Strangled by PFI debts and funding cuts, NHS foundation trusts compound their problems by entering into joint ventures. The great NHS divestiture, which began in 1990 with the introduction of the internal market and accelerated under the PFI programme, now takes the form of franchising, management buyout and corporate takeovers of our public hospitals. Virgin has been awarded £630m to provide services to vulnerable people and children in Surrey and Devon. Circle has been given the franchise for NHS hospital Hinchingbrooke and is now struggling to contain its debts. London teaching hospitals are merging to give them greater leverage for borrowing and cuts.

As for public accountability, there is none. Commercial contracts are redacted so that crucial financial information is not in the public domain. Government departments and companies refuse to release the necessary information on the grounds of commercial confidentiality and allow companies to sequester their profits in offshore tax havens. NHS staff transferred from the public to the private sector see their wages and benefits eroded. But all this is nothing compared with what is in store for patients.

In the new world it will no longer be possible to measure coverage or fairness. Former NHS hospitals, free to generate half their income from private patients, will dedicate their staff and facilities to that end, making it impossible to monitor what is public and what people are paying for.

The belief that markets distribute resources more efficiently is the basis of regional economic agreements like the European Union as well as policies imposed on developing countries by the World Bank and IMF. Britain led the way, starting with gas, water, telecoms and railways. By 2004, the whole of Whitehall was committed to putting corporations in control of what had formerly been publicly administered services. This year it is the turn of the NHS.

Loss of public control means higher cost and fewer services, as we have learned from the toxic record of the US corporations which are now part of England's new healthcare market and helped design it. Billing, invoicing, marketing and advertising will add between 30% and 50% to costs compared with 6% in the former NHS bureaucracy.

Patient charges will become commonplace. Fraudulent billing and embezzlement will become endemic. Take HCA, one of the largest and most profitable US chains and controlled by private equity firms including Mitt Romney's Bain Capital. In 2006 HCA International described its first joint venture with the NHS, the PFI University College London Hospital (UCLH), as "the establishment of Harley Street at UCLH".

HCA-UCLH provides cancer treatment to those who can pay from the 15th floor of the hospital. But currently some of HCA's American hospitals are under investigation for refusing care and performing unnecessary investigations and treatment, including cardiac surgery. A decade ago it paid the federal government $1.7bn to settle fraud charges, while former chief executive Rick Scott – now the Republican governor of Florida – managed to avoid prosecution.

This is the pattern elsewhere. Unitedhealth, which is currently providing services to the NHS, paid hundreds of millions of dollars in settlement of mischarging allegations in the US; Medtronic paid $23.5m for paying illegal kickbacks to physicians to induce them to implant the company's pacemakers and defibrillators; GlaxoSmithKline and Abbott paid $4.5bn in fines relating to improper marketing and coercion of physicians to prescribe antidepressants and antidementia drugs respectively. Novartis, AstraZeneca, Pfizer and Eli Lilly have all paid large fines for regulatory breaches.

The list is not exhaustive. In the absence of information and strong laws to prevent corporate crime and tax evasion, England's business-friendly environment is rapidly becoming a banana republic. Franchising is not an easy win for the public. It is a profit opportunity for big business in whose interests healthcare is increasingly being run both at home and abroad.