It isn't a massive problem. It's just a little yorkie.
I think the time change has caught up with him. If he needs out, he needs out. Wanting to go out to relieve himself is a normal thing to do when he wakes up. Try not telling him he's a bad dog, because he really isn't being bad. You just don't want to get up that early. Try to go with the flow for awhile. Take him out and see if he will go back to sleep or put his food down and you can go back to bed if need be.