\version "2.13.39"

lyr = \lyricmode { \repeat unfold 4 { Foo bar foo bar foo bar foo bar foo bar foo bar foo baz! Xyz -- zy! } }
ch = \chordmode { \repeat unfold 2 { a2 b | c d | e f | g1 } }
mus = \repeat unfold 4 { \repeat unfold 16 { a'8 } \break }

\score {
  <<
    \new ChordNames \ch
    \new Staff { \new Voice = "mus" \mus }
    \new Lyrics \lyricsto "mus" \lyr
    \new Lyrics \lyricsto "mus" \lyr
    \new Lyrics \lyricsto "mus" \lyr
    \new Lyrics \lyricsto "mus" \lyr
  >>
  \layout {
    \context {
      \Lyrics
      %% Comment the next line and no collisions occur.
      \override VerticalAxisGroup #'nonstaff-nonstaff-spacing #'space = #4
    }
  }
}