Ah, I understand.

In #959037 various ways of resolving (no pun intended) the conflict
between standalone dnsmasq and nm-dnsmasq have been discussed and in
recent comments we were working on the idea of moving nm-dnsmasq to
another loopback address, say 127.0.0.2, which allows standalone dnsmasq
to run alongside nm-dnsmasq in bind-interfaces mode without "except-
interface=lo"; thus standalone dnsmasq can provide name and other
services on lo at 127.0.0.1 as well as on external interfaces.

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https://bugs.launchpad.net/bugs/928524

Title:
  lxcbr0 fails to come up when dnsmasq is installed

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