But the article in the OP says
"The specialists have to meet the same entry requirements as trainee primary school teachers and receive extra training to deliver the Early Years Foundation Status for children aged between one and five."
So the specialists who would be allowed to teach Reception would need GCSE Maths and English (and Science) and a degree, but the Level 3 hires who are needed to be able to offer the government's 30 free hours would only need functional skills.
Not sure why there would be a concern about reception teachers having functional skills given these details?