Retired TA here -
I would hope they have reading records for older children, maybe just don't stress it too much in Reception. However, I think most professionals would like to see things started off the way it should carry on. Encourage 'reading' as much as you can, but don't 'push' too hard.
That's good she knows letters and tries to write - some R children are reluctant to write. 'Blending' is a difficult skill, and at this age children just DO NOT know what they are supposed to be aiming at. They realise reading is easy for adults and older children, but to them it seems like an impossible achievement.
I offer a couple of suggestions:
ONE - An inexpensive and easy to use book, that can encourage children with reading, spelling and writing, and really help them to understand Phonics, is reviewed in the MN Book Reviews section. Just search ‘Phonics’.
TWO - When I worked with less able Yr2 children, who were finding learning to read particularly difficult, we often used a SoundWorks kit, which consisted of a set of wooden letter blocks, which the child used to build simple words.? The theory was that, for some children, it is easier to SPELL words than READ them, which is a later stage.
It started with three-letter words, with a vowel in the middle - "a" glued onto a board.
The child then looked at the individual letter blocks, and was asked to make the word "c a t". Then he was asked, how do we change "c a t" into "h a t", which letter do we need to change? Then change "hat" into "ham" (with an emphasis on the "mmmm" sound).
Work slowly, and pronounce the sounds accurately and clearly. This approach was used with our Yr2 children who had been unable to make progress with more conventional methods of learning to read. It is rather time-consuming, and ideally needs resources to be made, but it does work very well.
So, if you can find or make suitable letters, and make a card with "a" glued in the middle, your child may enjoy building the words. Use letters that are occurring in words in the books he is bringing home, and then go on to make cards for the other vowels if it seems to work with "a".
OP: I am sorry that a parent's simple query can often descend into a Phonics 'war', and you were wise to keep well out of it!
Let me know how things progress.