Education unfortunately not working, hampering millions in city (8)
I believe the answer is:
edmonton
'city' is the definition.
(Edmonton is an example)
'education unfortunately not working hampering millions' is the wordplay.
'education' becomes 'ed' (abbreviation - e.g. sex ed).
'unfortunately' indicates an anagram.
'working' becomes 'on' (**).
'hampering' means one lot of letters goes inside another (hamper can mean to obstruct or restrain).
'millions' becomes 'm' (abbreviation).
'not' is an anagram of '[not]'.
'[not]'+'on'='onton'
'onton' going around 'm' is 'monton'.
'ed'+'monton'='EDMONTON'
'in' is the link.
(Other definitions for edmonton that I've seen before include "Tom Donne is out in the Canadian city" , "Provincial city" , "Canadian provincial capital" , "Odd demon not in a Canadian city" , "Part of London (or Alberta)" .)