Not sure why it wouldn't give you any more disk space... did you make it bigger than the old one?
You don't have to delete the old one.
If you want to delete it, delete it the same way you'd delete any file.
You can copy the root.disk to make a backup - usually I'd do this before some major update (like upgrading to the next release). Then you can just swap it back if something goes wrong. But in general, it's an inefficient way of backing up data because it copies the OS (which can be reinstalled) and even the free space on the virtual disk. So you might have 1 GB of data but you're backing up between 5 and 30 GB of root.disk.
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