The government must re-examine current "sensible drinking" guidelines to tackle "widespread" confusion among the public, according to a committee of MPs.
The Commons public accounts committee today said the Department of Health (DoH) must look at whether the current recommendations were "fit for purpose" or should be replaced.
MPs pointed to research last year showing that 77 per cent of people did not know how many units were in a typical large glass of wine.
More than 10 million people are now regularly drinking above current government guidelines, the committee said, and that alcohol misues is costing the NHS £2.7bn a year.
Edward Leigh MP, chairman of the committee of Public Accounts, said: "Too many people are drinking too much.
"In England, nearly a third of all men and a fifth of all women are regularly drinking more than the official guidelines say they should. In doing so, many are on course to damaging their health and general well-being."
The report also calls for a mandatory labelling scheme on all alcoholic drinks, if a review this year does not show a "significant improvement".
And it calls for a more effective co-ordination between government departments on issues such as licensing, taxation and glass sizes.
"The Department of Health should look across all departments, identify all the initiatives and policy areas bearing on alcohol misuse and determine the extent to which each is helping or hindering the department's objectives," Leigh added.
"Where the latter are being stymied, the department should communicate its concerns to senior officials in the relevant departments."
Pricing of alcohol is also addressed in the report - pointing out that drinks become steadily cheaper since 1980, while "consumption and health damage have increased". It calls for the DoH to work with other departments to "develop policies which will help to prevent excessive consumption".
This has prompted renewed calls for the government to set a minimum pricing on alcohol.
Professor Alan Maryon-Davis, president of the Faculty of Public Health, said: "Enough is enough and it's time to get tough.
"Standardised labelling is a must. But so too is a ban on deep price cuts and giveaways.
"The government should stop pussyfooting around and set a minimum price for alcohol that eliminates ultra-cheap heavy drinking without disaffecting all those who drink moderately."