Generally speaking, on Shabbat and Yom Tov morning one first recites Kiddush and then washes his hands and recites the Beracha over the bread. If one prefers to wash his hands before reciting Kiddush, he would still recite Kiddush first, followed by the Beracha over the bread. Although on the night of Shabbat or Yom Tov Halacha requires one who washes before Kiddush to recite Kiddush over bread, rather than over wine, this Halacha does not apply to the daytime Kiddush. On Shabbat morning, one recites Kiddush over wine even if he had washed Netilat Yadayim prior to reciting Kiddush.
The reason for this distinction lies in the fact that the daytime Kiddush consists of only the Beracha of "Borei Peri Ha'gefen." All the passages we customarily recite before the Beracha "Mizmor Le'David," "Im Tashiv," "Ve'shamru," and so on are added as introductory verses, and are not part of the actual Kiddush. (For this reason, women who must recite Kiddush on Shabbat morning in order to be allowed to eat often recite only the Beracha of "Borei Peri Ha'gefen," without the introductory verses.) Therefore, one cannot recite Kiddush over bread on Shabbat or Yom Tov morning, because such a Kiddush would consist of only the Beracha of "Ha'motzi" over the bread, and there would thus be no recognizable indication that one recites Kiddush. In such a case one should recite Kiddush over wine as usual, and then proceed directly to the Beracha over the bread. (Menuhat Ahava, Helek 1, page 144.)
Summary: Whereas on the night of Shabbat or Yom Tov a person who washed Netilat Yadayim before Kiddush should recite Kiddush over bread, on Shabbat or Yom Tov morning one who washed his hands before Kiddush should recite Kiddush over wine, as usual, and then recite the Beracha over the bread.
