The maximum pods per node has a hard limit of 110. After a bit of googling I found #23349. Since in my config I have few bit larger nodes I definitely would like to increase this hard limit.
This can be done by setting the --max-pods in kubelet and restarting the service. For microk8s the configuration file can be found:
/var/snap/microk8s/current/args/kubelet
Add line to the bottom (limit to 200 pods):
--max-pods=200
And restart the service:
$ service snap.microk8s.daemon-kubelet restart
PS: This needs to be done on each node.