SQL Server is capable of reading XML and inserting it as you need. Here is an example of an XML file and insertion pulled from here:

XML:

<Products>
  <Product>
    <SKU>1</SKU>
    <Desc>Book</Desc>
  </Product>
  <Product>
    <SKU>2</SKU>
    <Desc>DVD</Desc>
  </Product>
  <Product>
    <SKU>3</SKU>
    <Desc>Video</Desc>
  </Product>
</Products>

Insert statement that is parsing the XML:

INSERT INTO Products (sku, product_desc) 
SELECT X.product.query('SKU').value('.', 'INT'),
       X.product.query('Desc').value('.', 'VARCHAR(30)')
FROM ( 
SELECT CAST(x AS XML)
FROM OPENROWSET(
     BULK 'C:\Products.xml',
     SINGLE_BLOB) AS T(x)
     ) AS T(x)
CROSS APPLY x.nodes('Products/Product') AS X(product);

You can use the BULK INSERT statement with the RAW keyword to load the data into a table with a single column. It will put the entire document into a single row. Then query the table and put the data into a variable with a datatype of XML.

This blog post shows how to get data out of the XML document.

The basic syntax for using bcp is:

bcp <table_name> <direction> <file_name> <options> 

Where the arguments take the following values:

• table_name is the fully qualified name of the table. For example, you might use inventory.dbo.fruits to insert records into the fruits table, owned by the database owner, in the inventory database.
• direction indicates whether you want to import (“in” direction) or export (“out” direction) data.
• file_name is the full path to the file. For example, you could import the file C:\fruit\inventory.txt.
• options allow you to specify parameters for the bulk operation. For example, you can specify the maximum number of errors allowed with the –m option. You may also use the –x option to specify an XML file format. Consult Microsoft’s bcp documentation for a full list.

Will need more info to know what switches to use, but it should be somehting like

bcp database.dbo.MyTable in "C:\folder\xmlfile.xml" -c -T

-c Performs the operation using a character data type.
-T Specifies that the bcp utility connects to SQL Server with a trusted connection using integrated security.

Also here is Microsoft's bcp Utility which should help you with knowing what switches to use.

Based on your XML, you could use this XQuery SELECT to extract your items from the XML:

select
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/infringementNumber)[1]', 'VARCHAR(10)') 'InfringementNumber',
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/issueAgency)[1]', 'VARCHAR(5)') 'Issue Agency',
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/infringementType)[1]', 'VARCHAR(5)') 'Infringement Type',
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/offenceEntity/offenceCode)[1]', 'INT') 'Offence Code',
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/vehicleEntity/vehicleClass)[1]', 'INT') 'Vehicle Class',
    @input.value('(/ArrayOfInfringementEntity/InfringementEntity/obligationNumber)[1]', 'VARCHAR(11)') 'Obligation Number'

Replace @input with the variable or column that holds your XML (I've used @input as a test bed in my tests).

The output looks like this:

InfringementNumber  Issue Agency    Infringement Type   Offence Code    Vehicle Class   Obligation Number
1234567891              017                1A              7777            2                obligation1

And of course, you can also do an INSERT INTO .... and use the output from this SELECT as the values to insert.

Update: if your XML column contains multiple entries (of /InfringementEntity inside the /ArrayOfInfringementEntity), you need to use a SELECT like this:

SELECT
    InfrEntity.value('(infringementNumber)[1]', 'VARCHAR(10)') 'InfringementNumber',
    InfrEntity.value('(issueAgency)[1]', 'VARCHAR(5)') 'Issue Agency',
    InfrEntity.value('(infringementType)[1]', 'VARCHAR(5)') 'Infringement Type',
    InfrEntity.value('(offenceEntity/offenceCode)[1]', 'INT') 'Offence Code',
    InfrEntity.value('(vehicleEntity/vehicleClass)[1]', 'INT') 'Vehicle Class',
    InfrEntity.value('(obligationNumber)[1]', 'VARCHAR(11)') 'Obligation Number'
from
    (yourXMLcolumn).nodes('/ArrayOfInfringementEntity/InfringementEntity') as ArrInfr(InfrEntity)