Hello and thanks for having reported this issue.

I was able to find patch "KVM: PPC: Book3S HV nestedv2: Cancel pending
DEC exception" accepted in the 'linux-next' tree
(7be6ce7043b4cf293c8826a48fd9f56931cef2cf).

Do you know if it got also upstream marked for stable updates, and with that 
will be added to mainline 6.8 as well?
I'm asking because, if so, the Canonical kernel team will pick it automatically 
- but if not, it needs to be manually submitted to the Ubuntu kernel teams 
mailing list (where we can help with).

** Also affects: ubuntu-power-systems
   Importance: Undecided
       Status: New

** Changed in: ubuntu-power-systems
     Assignee: (unassigned) => Ubuntu on IBM Power Systems Bug Triage 
(ubuntu-power-triage)

** Changed in: linux (Ubuntu)
     Assignee: Ubuntu on IBM Power Systems Bug Triage (ubuntu-power-triage) => 
(unassigned)

** Changed in: linux (Ubuntu)
   Importance: Undecided => High

** Changed in: ubuntu-power-systems
   Importance: Undecided => Medium

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https://bugs.launchpad.net/bugs/2070253

Title:
  KVM on PowerVM: L2 Guest-Aggressively entering CEDE results in low
  performance. Possible tuning opportunity.

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