Has there been any progress on this?
I am having this same issue on http://www.rookiecollector.com homepage.
I want to have basically 2 featured posts at the top, and then below it paginated latest posts.
Right now, since my “featured” posts are my 2 most recent, I want to offset the 2nd listing of posts by 2. However, when I do the offset pagination breaks and all of the pages are identical.’
EDIT: Also, the website that I got the idea for this layout from seems to be having no issue achieving what I want. Not sure if they’ve done some self modification of the WPShowPosts code or not: https://nogluten.com/
EDIT again: My temporary fix is to update the 2nd list to manually exclude the 2 post IDs from the top list for the time being. Annoying fix but it works.