With rapid development in metropolitan areas, deep excavation and tunnelling are often carried out close to existing buildings or infrastructure. The soil movement due to excavation may cause damages to adjacent foundation, worse for shallow foundations as compared to deep foundations. In this keynote paper, the latest development and understanding of soil-structure interaction involving foundation subject to adjacent excavation are presented; with references to successfully implemented projects or research work based on finite element modelling, centrifuge experiments and field monitoring, observations and interpretations. The novel concept of limiting soil pressure due to excavation stress relief is also presented.