what seeker has said, she is 5, has issues at home and has just moved schools, give the kid a break! by all means read to her and encourage her to try and do things and build her confidence but DONT make a big deal out of this.
and with regards to children being at school for 2 yrs and being behind ie reception and yr 1 and then not catching up ime that is balls, all 3 of my elder boys were 'ate' reading, they just werent interested, and then in yr 2 age 7 when they were ready it 'clicked' my ds3 is just at the 'clicking' stage now.
ds1 was the same not interested, but once he got it he was fine, was way above where he needed to be by yr6 in sats etc, now in yr 8 at high school, top sets for everything and flying, on level 7 for most things.
ds2 is 9 (almost 10) in yr 5 and way ahead of where he needs to be, just did the sats with yr 6 'for fun', again late reader, didnt get it till yr 2 adn then flew, he was young and is slightly immature emotionally and simply wasnt ready, we always just read to him and encouraged his interest in books etc.
ditto ds3 and both ds2 and ds3 had IEP at one point, but the teachers i spoke to regularly were always happy they were making progress and agreed they would get it when they were ready and they did, well ds3 is doing :)
bizarelly ds4 is just 4 and is obsessed with phonics and numbers and letters etc, so i suspect he may well read earlier than his brothers did.
children can and do struggle to read, YES it may be dyslexia but ime you always jump into these threads saying dylsexia, they wont catch up, they will struggle etc (and i appreciate you have experience of this) but not all struggling children will have dylsexia, some are simply not ready to read at age 5 or 6 yrs and that is totally normal in many cases. by all means read lots to these children, practise phonics with them etc, but keep a relaxed attitude, your stress will pass onto your children and it may very well be that they simply arent ready to read!