Recounting my experience in case it helps anyone else
I connected to WiFi, then after KOReader told me that it was connected, I waited a minute or two before trying to update. When I did press "update" a message came up saying "would you like to connect to WiFi?" Choosing the affirmative option led to KOReader attempting to connect, despite already being connected (according to its earlier message). When nothing at all happened after a couple of minutes, I turned WiFi off. I then repeated the exact same procedure and had the exact same result.
So then I tried something that has sometimes worked on previous occasions when KOReader wasn't connecting to WiFi. I exited into Nickel, connected to WiFi in Nickel and immediately restarted KOReader and pressed Update. It worked perfectly.
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