In order to analyze the deformation and failure of the surrounding rock of the roadway passing through the fault loose and fractured zone, the numerical simulation analysis method was used to analyze the deformation and failure. Firstly, according to the engineering analogy method, the support scheme of SN-36 belt groove in Xinyuan Mine was anchor cable+shed, and the support parameters in the support process were optimized. According to the geological mining conditions, the original model of roadway simulation in Xinyuan Coal Mine was established by FLAC software. The plastic zone, stress and deformation of surrounding rock after roadway excavation were analyzed. It was found that the deformation increased and the plastic zone scope increased with the gradual influence of faults. The larger the plastic zone, the more severe the stress release and the greater the damage of surrounding rock was. By analyzing the characteristics of deformation and stress distribution of roadway after excavation and support, it was concluded that the tectonic stress zone was the main factor of deformation and failure of soft rock roadway.