I use PHP Debug extension (by Xdebug) in VSC.
I figure it out that deletting all files launch.json in .vscode from Local public folder and applying again ADD RUN CONFIGURATION TO VS CODE from Xdebug + VS Code seems to work.
I have managed to start debugger an apply a breakpoint successfully by opening in VSC menu File > Open Folder in root Local Public folder .
So far it works.