Public bug reported:

I've created a 16.04 LXC from a 16.04 host, installed a snap inside it
and am trying to run the snap. When I do so I get the following error:

cannot perform operation: mount --rbind /snap /snap: Permission denied

Here's what's installed inside the LXC:

ubuntu@codetree-snapcraft:~$ snap list
Name      Version    Rev   Developer  Notes
codetree  73         2     axino      -
core      16-2.28.5  3247  canonical  core

ubuntu@codetree-snapcraft:~$ snap --version
snap    2.28.5
snapd   2.28.5
series  16
ubuntu  16.04
kernel  4.10.0-37-generic

ubuntu@codetree-snapcraft:~$ ls -lha /snap/
total 20K
drwxr-xr-x  5 root root 4.0K Nov  2 10:01 .
drwxr-xr-x 22 root root 4.0K Nov  2 09:45 ..
drwxr-xr-x  2 root root 4.0K Nov  2 10:01 bin
drwxr-xr-x  3 root root 4.0K Nov  2 10:01 codetree
drwxr-xr-x  3 root root 4.0K Nov  2 09:46 core

ProblemType: Bug
DistroRelease: Ubuntu 16.04
Package: snap (not installed)
ProcVersionSignature: Ubuntu 4.10.0-37.41~16.04.1-generic 4.10.17
Uname: Linux 4.10.0-37-generic x86_64
ApportVersion: 2.20.1-0ubuntu2.10
Architecture: amd64
CurrentDesktop: Unity
Date: Thu Nov  2 11:14:59 2017
EcryptfsInUse: Yes
SourcePackage: snap
UpgradeStatus: No upgrade log present (probably fresh install)

** Affects: snap (Ubuntu)
     Importance: Undecided
         Status: New


** Tags: amd64 apport-bug xenial

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https://bugs.launchpad.net/bugs/1729576

Title:
  cannot perform operation: mount --rbind /snap /snap: Permission denied

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