This is a continuation of the #1116 issue.
There's a PHP bug relating to is_readable not working properly for Windows network drives, further details at https://bugs.php.net/bug.php?id=73543
This should ideally be fixed on the PHP side, but given that it's been an issue for a while and still hasn't been addressed, my hopes aren't too high.
phpcs currently works for my use case of running it via PHPStorm's integration, but if there's other pieces of code which rely on is_readable, then it'll also run into the same bug.
Just wanted to document it here for others running into issues with getting it to work with PHPStorm + WSL2.
I've attached a patch here to address the behaviour.