I was looking around for more info about this whole area and found we
already were already looking at this once (bug 1494602). Unfortunately
(as so often) the reporter went just quiet and at least I forgot about
it. So essentially, to make things more fun, that qemu change affects VM
differently depending on the machine type used. So for VMs created
in/with Trusty this is ok but with later releases the default changed
and one needs force the svm/vmx flag on. The provided XML shows a
machine type of "pc-i440fx-vivid". So likely when that gets changed from
vivid to trusty, then nested works.

Serge, not sure where that patch you refer to is located. I cannot find
it. But generally adding vmx or svm probably has to be done very
carefully as those are vendor specific. Not that this makes boot fail on
all Intel CPUs...

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https://bugs.launchpad.net/bugs/1561019

Title:
  copied cpu flags don't match host cpu

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