DD is my only child atm so this is all new to me.
I must say that we love the preschool. She does all the playing, splashing, singing, reading, dancing, instrument-playing etc that her heart desires.
I do understand in some ways why they've introduced what they're referring to as a 'stepping up' programme. Because some children such as dd enjoy it and if they come to it willingly and want to do it then I can't disagree with it. It is also only one afternoon a week, the rest of the week is mostly free play. And they're trying to prepare them for moving up into the primary school which has a mixed age class and is a very different environment to the preschool. DD however, is not going to this primary, she's going to one out of catchment (only a couple of miles away) which has a separate reception class. This was the key thing that sold it to me. It was a lot more like I expect a reception class to be. On visiting the catchment primary, it was clear that due to the mixed ages, there was more emphasis on formal learning. Perhaps it does make sense that they're slightly prepared for this. I did notice the 4yr olds struggling with tasks that the 6yr olds were becoming bored with when we visited. But I'm not sure pushing the preschoolers before they're ready is the way to deal with this. To be utterly honest, the school has a lot of problems and this is the least of them. If the preschool is bridging a perceived gap then I'm glad dd won't be going there.
To my mind preparing dd for school has been more about teaching her to share, clean herself properly after going to the toilet, wait her turn, do up her laces, get changed quickly and neatly, navigating some of the thorny social situations that come up (one toy, two children) etc. Everything else is just enjoying being a child.
I'm letting dd do what she wants to do with the letters/numbers/words. I answer her questions about what the words are. I assume if they're 'sight words' then that's all they expect. I've read the dull book, played eye spy and then put the thing in the drawer.
DD does have a good grasp of numbers and recognises all letters but from reading great, funny, engaging, wonderful books and counting shells on the beach and singing silly songs. You won't convince me that isn't the best way to learn at her age.
I'm afraid I did write a rather sarcastic message in her homework book. Her keyworker read it this morning, laughed and asked dd if she wanted to go and play dinosaurs on the trampoline. Much more like it 
Oh and, er, pretending to cook dinner? Actually letting her cook dinner is a no no then? Better do it myself tonight...