Fabric is bunching - any ideas?

I am having a bit of trouble sewing part of a quilt block together.  The seam is catching underneath, here is a pic:

I have tried adjusting the presser foot but that doesn't seem to make a difference.  I pin the seams down and take the pins out as I near the seam but it still bunches...  Does anyone have any tips to help prevent it catching and bunching? 

Santa cross-stitch progress pic

Quick post to show off a pic of Santa's progress.  The top of the Christmas tree and Santa's glove with candy cane in tow are now visible, hooray!  Am currently stitching the window frame of the design then will continue to fill in the rest of the right hand side, which comprises mostly of the Christmas tree, more green threads!  I am adamant my next cross stitch will not contain green, or if it does it will be very minimal lol.  Actually, come to think of it, I think I know which design I will make next. I purchased a Frangipani cross stitch kit years ago and from memory I don't think it does contain any green :)  It looks like quite a simple, quick design to stitch too which will be a refreshing break from the more complex cross stitch kits.

Mystery Folk Art Revealed

Now I know I posted a long time ago about this painting and couldn't post any pics because it was a Christmas present for my Mum, of which she loved by the way.  Now that Christmas is over and the surprise has been revealed here are some pics I took along the way:

 This was painted on a wooden tissue box cover and has a different painting on the other side which looks like this:

This design was created by Renee Mullins, as are the majority of the paintings I do; I cannot get enough of her designs, they are simply gorgeous!  This is no exception and was a lot of fun to paint.  The blue background is the perfect colour for a tissue box holder as the tissues actually look like snow on top.