I have the same problem. I did not install any additional drivers;
Ubiquity and the release are the same version (12.04 beta 1) but I also
have a non-formatted old filesystem as /home. I have / and /boot
formatted as new btrfs partitions and /home as the old not-to-be-
formatted reiserfs partition. /home is mounted and decrypted at
/mnt/tmpmount at the time the installer hangs with the message 'Removing
conflicting operating system files' and the button to skip this is
greyed out.

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https://bugs.launchpad.net/bugs/946663

Title:
  Installer stuck at "Removing conflicting operating system files..."

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