Have you tried the D I C K and Jane books? I got some from The book depository and they were great. Start off really easy and then progress on.
A website called Reading Eggs is also good, it's a young readers site and progresses on also for school age.
Some books like the Who's Nose and toes? by John Butler are great, as they are repititive and he also has other one's like Who's baby am I?
When I was at school, my English teacher taught his 2yr old to read. Never too young to start the passion for reading.
My Mum has also bought us some great books, such as a picture then the word, this helped my DS2.