In New Zealand, the government subsidises up to 20 hours of Early Childhood Education (basically preschool/daycare). However, daycare providers usually only allow you to take 6 hours of subsidized daycare a day, and charge an excessive sum for the 7th-8th hours, essentially double dipping. Most people will pay the extra hours because they work ~8 hours a day and need daycare for all or most of it.

Basically the subsidy doesn't really help parents, it just goes to the daycare's pockets (and subsequently, their landlord if they don't own their property).