my girls are now 5 and 6 and either both have enjoyed or the elder one has enjoyed reading to herself ....
Charlie and the Chocolate Factory, The Naughtiest Girl in the School, Super Sister (just finished it - by Gwyneth Rees), Paddington, Mr Benn, Milly Molly Mandy, Winnie the Witch, Laura's Star (2 different length types of story available, some are long picture books and some are early chapter books), Enchanted Wood, Faraway Tree, Folk of the Faraway Tree, Wishing Chair, The Worst Witch (there are now 7 of them) erm Magic Molly, My Naughty Little Puppy, The Rescue Princesses, Zoe's Rescue Zoo.
Shorter books
Katie Morag
The Lighthouse Keeper
Claude (Daddy thought it was ridiculous mind and complained about it)
Usborne Young Reading Series 1 has some good ones in, my 2 liked Stories of Mermaids, Stories of Fairies, Stories of Dolls, The Incredible Present and their favourite The Princess and the Pea. Mairi's Mermaid, The Quick Brown Fox Cub, The Wrong Kind of Bark, The Witches Dog books by Frank Rodgers, some Dick King Smith.