I feel for you. I was in a similar place with my DD last year. (sorry this is long!)
In Reception in my DD’s school they said they read with all the children at least once per week (mostly this was parent helpers, but sometimes teacher or TA). Not true in the case of my DD, but I picked my battles – I didn’t see the benefit of pushing for more 1:1 reading time as my DD didn’t need it. She made it obvious very early on that she could read everything on the walls, worksheets, whiteboard, story books in the class library etc. Reading with a teacher would just have taken time away from some child that needed it more. HOWEVER, the teacher did not limit her to YR books, and I definitely think you need to raise this if your DD is reading at a much higher level than the class books and is effectively wasting her time with them. My DD was sent off to another classroom once per week to choose books. We had occasional useful dialogue with the teacher in writing through her reading record – as soon as I commented that she was rattling through the books, the teacher spotted this and assessed her and she normally went up a level at this point.
On reading alone, I would be inclined to keep doing what you’re doing at home, and treat the school reading material as secondary to the natural progression that’s going on at home. Just make sure you pick her up if she misses out words or ‘assumes’ what a sentence should be. And ask lots of comprehension questions. Once they’re at this level, there’s a limit to how much value a YR teacher is going to add (other than consolidating phonics which will happen very slowly but is still important).
I agree with the general trend of comments on this thread that YR is about learning through play and establishing the school habits and the social side (how is she socially within her peer group?). It is too much to expect that the teacher will arrange fully differentiated work and push her ‘ahead’ in a formal way. However, my DD was happy in YR because the teacher was able subtly to challenge her by asking the right sort of questions. For example, in writing, the children had to write their name every day, but soon DD was asked to write a sentence, and then later to write longer sentences using a connective, and later, by starting the sentence in different ways, and then by asking a question which created the need to for a deeper and more descriptive response in the next sentence. Also, although phonetic spelling is the norm in YR, once the teacher noticed that DD was spelling some more difficult words correctly, she started correcting some spellings in DD’s work.
The same applied to maths. Extension challenges just seemed to emerge naturally. We could tell this was happening, because when the main class teacher was out, DD would comment that the phonics or maths was ‘easy’ that day. It was clear to us that her teacher was experienced enough to keep the brighter ones engaged. The YR teacher was the EYFS co-ordinator, by the way.
For handwriting they mainly concentrated on correct letter formation and basic punctuation (capital letters and full stops). Again, it’s easy enough for a teacher to have a brief word with a child to challenge them further.
I would definitely suggest you speak to the EYFS co-ordinator at your DD’s school (which I notice is the Head). It sounds like the class teacher needs a bit of support to keep the brighter ones interested and really foster that love of learning.