This study compared the rate of literacy acquisition in orthographically transparent Welsh and orthographically opaque English using reading tests that were equated for frequency of written exposure. Year 2 English-educated monolingual children were compared with Welsh-educated bilingual children, matched for reading instruction, background, locale, and math ability. Welsh children were able to read aloud accurately significantly more of their language (61% of tokens, 1821 types) than were English children (52% tokens, 716 types), allowing them to read aloud beyond their comprehension levels (168 vs. 116%, respectively). Various observations suggested that Welsh readers were more reliant on an alphabetic decoding strategy: word length determined 70% of reading latency in Welsh but only 22% in English, and Welsh reading errors tended to be nonword mispronunciations, whereas English children made more real word substitutions and null attempts. These findings demonstrate that the orthographic transparency of a language can have a profound effect on the rate of acquisition and style of reading adopted by its speakers.